Antony’s reluctance to take decision puts 197 choppers deal in jeopardy

The Defence Minister AK Antony’s reluctance to take a call on making minor modifications in the original tender for the procurement of 197 light utility helicopters has put the whole deal in jeopardy. 

According to sources, Eurocopter AS550C3 Fennec had emerged as the winner of the field trials for the helicopters for the Indian Army and Indian Air Force (IAF) in the deal estimated to be valuing $ 1 billion. But there was one minor issue problem – long stretcher cannot be accommodated in the helicopter. The Original Equipment Manufacturer (OEM) suggested that that it can add bulge to the gate so that a long stretcher can be put inside the helicopter. A Technical Oversight Committee was set up to look into the matter.

“The change in the doors of the helicopter would not have affected much. The oversight committee found that the change will not affect the helicopter much but, it will require a little change in the requirements of RfP. This change in the RfP could only be brought by approval of the Defence Minister,” sources added.

The matter was referred to Antony. However, reluctant to take “discretionary” call, the Defence Minister surrendered his discretionary power to the Defence Acquisition Council (DAC) comprising of the Minister of state for Defence, three services chiefs, Defence Secretary, Secretary Defence Production and other senior officials of the Ministry of Defence.

“This effectively means that the DAC will consider this issue. Most likely the deal has been put in a cold storage. So jeopardizing the status of the tender itself,” sources added.

The procurement of 197 helicopters for the Indian Army has been jinxed as the force’s earlier attempt to acquire these machines ended in a naught when the tender was cancelled at the last moment. The tender was re-issued in 2008 but it ran into rough weather after the Defence Ministry received an anonymous letter alleging roles of arms dealers in the deal.

The Eurocopter AS 550 C3 Fennec was selected after grueling trials in hot, humid and high altitude conditions in Rajasthan, Punjab and Kashmir including Siachen Glacier. These new rotary machines will replaces the 1970 vintage Chetak and Cheetah helicopters in operation with the Indian Army. As per the tender, Eurocopter will deliver 60 helicopters in fly-away condition and remaining 137 will be licensed produced by Hindustan Aeronautic's Limited at Bangalore.