Aam Aadmi Party leader Sanjay Singh said Saturday that former French president Francois Hollande's remarks on the Rafale aircraft deal have proved it was a "big scam".
The Rajya Sabha MP's remark on the purchase of 36 fighter jets from France came a day after Hollande was quoted by the French media as purportedly saying that the Indian government proposed Anil Ambani-led Reliance Defence as the partner for Dassault Aviation in the Rs 58,000-crore deal and France did not have a choice.
The report in 'Mediapart', a French language publication, quoted Hollande as saying, "It was the Indian government that proposed this service group, and Dassault which negotiated with Ambani. We had no choice, we took the interlocutor who was given to us."
Addressing a press conference in Nagpur, Singh said, "The statement made by former French president Francois Hollande on the Rafale deal is shocking and it proves that the Rafale deal is a big scam."
"The Modi government should tell why the offset contract was given to Reliance Defence. Hollande's statement proves that the Modi government favoured Reliance Defence in getting the offset contract," he said.
Under India's offset policy, foreign defence entities are mandated to spend at least 30 per cent of the total contract value in India through procurement of components or setting up of research and development facilities.
According to Singh, a joint statement issued by Prime Minister Narendra Modi and Hollande in 2015 has come to the fore now and it showed that there was no change in the technology of the aircraft in the new deal. "It is the same technology as was finalised during UPA-II," he said.
He said the government should reveal why the cost of Rs 540 crore per aircraft went up to Rs 1,670 crore and the offset contract was given to Reliance Defence, formed 12 days before the announcement of the Rafale deal.
"The country suffered losses to the tune of Rs 36,000 crore...about Rs 1,000 per aircraft. It is the biggest scam in defence deal that the country has ever seen," Singh said.
He alleged that the statement made by Hollande proved that the Modi government proposed Reliance Defence for the offset partner, dropped Hindustan Aeronautics Ltd and thus favoured Reliance.
"The PM should clarify on this aspect. The defence minister should resign and an investigation should be launched to find who got the Rs 36,000 crore... A JPC probe should be initiated," Singh demanded.
The AAP leader also said that his party will contest upcoming elections in Madhya Pradesh, Chhattisgarh and Rajasthan, and on 80 to 100 seats in next Lok Sabha polls.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)