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Pakistan Ex-Navy chief confirms French kickbacks

ssheppard

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Former Naval chief Admiral Abdul Aziz Mirza gives credence to the recent French investigative report that talked of almost $49 million kickbacks in the Agosta-submarine deal allegedly received by President Asif Ali Zardari and others, including Naval officers, disclosing that the then Benazir government had urged the Pakistan Navy to go for the French subs.

Mirza, while quoting the then Naval chief Admiral Saeed Khan, also revealed that Benazir Bhutto’s defence minister Aftab Shaban Mirani had clearly indicated to the Pakistan Navy’s high command the government’s preference for the induction of the French submarines.

Despite these clear indications by the defence minister, the top naval command again met and deliberated on the subject and decided to recommend two options to the government — the British Upholder and the French Agosta. The government later approved the induction of the Agosta.

Mirza, who led the Pakistan Navy from Oct 1999 to Oct 2002, said the Navy first formally came to know about the kickbacks in the Agosta deal in 1998 following which it proceeded against three officials of the rank of captain and commodore for getting bribe. They were eventually removed from service. “My hunch is that besides the politicians, some top ranking naval officers, even above the rank of commodore, might also have received kickbacks as reflected in the recent French media reports. They, however, (the top Naval officials) remained undetected for want of proof or witnesses,” Mirza said.

He claimed that even the condemned formal Naval chief, Masoorul Haq, was not convicted of the Agosta kickbacks but for the bribes that he had pocketed in other defence deals. According to a recent report in a leading French newspaper, investigations have revealed that Zardari received $4.3 million in kickbacks from the sale of three Agosta 90 submarines for Eu825 million. These reports also suggest that Naval officials might have received kickbacks out of this $49 million.

This deal was struck during Benazir Bhutto’s second tenure in 1994. According to former DG Naval Intelligence Commodore Shahid Ashraf, he had informed in early 1995 the then Naval chief Mansoorul Haq and his vice chief vice admiral AU Khan of the cash pay off to Capt ZU Alvi and Col (retd) Ejaz as bribe for further distribution amongst Naval officers.

Ashraf, who was dismissed from service, claimed in his statement in 1998 that he had informed the Naval chief and the vice chief in early 1995 of the Agosta kickbacks issue but was asked by them to keep quiet. Ashraf insisted that he was innocent and victimised by the Pakistan Navy in 1998 to save the skin of several other allegedly corrupt Naval officers, who had received kickbacks in the Agosta deal.

Admiral Mirza admitted the facts that Ashraf did make the same claim in his statement in 1998 and that retired vice admiral AU Khan too had confirmed the same fact when questioned in 1998 by the fact-finding inquiry.

But Admiral Mirza still insisted the ex-DG Naval Intelligence did receive kickbacks in the Agosta deal as was confirmed by the other two officers, Capt ZU Alvi and Capt Liaqat Ali Malik, who were blamed to have received bribes directly from the French. For the same reason, he said, the ex-DGNI was penalised.

He said that Capt ZU Alvi and Col (retd) Ejaz were the two main witnesses with the former having agreed to become approver on the condition of revealing all the details of kickbacks and corruption. Mirza though conceded that Ashraf was Admiral Mansurul Haq’s right-hand man, he did never carry the reputation of being corrupt before he was convicted to have received Rs 1.5 million from Alvi, who was the direct recipient of the kickbacks.

Mirza, who has also served as the country’s ambassador to Riyadh, said that one Zafar Iqbal, a middle man of the French company, was also interrogated and had admitted to have received $160,000 to be paid to four commodores. He, however, said that both Iqbal and Ejaz never paid this amount to anyone of them. The former Naval chief said that the four commodores were never charge sheeted or confronted by a board of inquiry as a fact-finding inquiry had already found them innocent, which led to their promotion as rear admiral.

Zafar Iqbal claimed during interrogation to have been assigned by the French company to bribe the Naval officials up to the rank of commodore. For top ranking Naval officers and for political bosses, Mirza quoted Zafar Iqbal to have claimed that some other middle men, including Aamir Lodhi, were responsible for the kickbacks and commissions of persons with higher status both in Navy and in the government.

Since these middle men were never caught and probed so it still remains a secret as to who amongst the senior most Naval officers of that time received how much money, he said. But he believed that there were some top men, who must have received the kickbacks but remained free.

Referring to the latest French media reports about the Agosta kickbacks, he said he gives such reports due credence also for the reason that the French, Germans, Italians and other manufacturers of defence equipment do have a recognised provision of allocating about 10 pc of the contract value as kickbacks, entertainment, gifts etc as a matter of policy.

When asked whether the kickbacks and commissions in defence deals in Pakistan could be curbed, he stated that with a little bit of sincere effort the kickbacks in defence procurements could be considerably reduced if not altogether eliminated.

Ex-Navy chief confirms French kickbacks
 
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Well he needs to watch his back now lol not wise to talk behind the gov in Pak specially this one.
 
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The imp qs. Is will the history be repeated with Marlins, tha zardari is once again obssessd with.
 
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French police probe claims of Pakistan kickbacks

PARIS: French police have opened an inquiry into whether kickbacks from submarine sales to Pakistan helped fund former prime minister Edouard Balladur’s 1995 presidential campaign, said the Paris prosecutor on Thursday. Balladur has denied any involvement in the affair. The affair is linked to an unsolved bomb attack in 2002 against French naval engineers and technicians working on building French submarines for the Pakistan Navy. The attack was suspected by French investigating magistrates to have been organised by unidentified Pakistani officials as “revenge for the non-payment of bribes on the submarine sales”. The lawyer for the relatives of the bomb victims has welcomed the opening of the inquiry as “a victory”. reuters
 
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Can there never be a clean def deal ?

with the french - no
with the UK - sometimes / the typhoon deal 'reeks' of kickbacks to s/arabia.
with the US - most times but there are case histories.

cant say abt russia/china as those deals are state controlled.
 
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The french have offered Merlins which come with componenst and technology used in Nuclear subs - so its not all bad option :cheers:

All I want is subs 20 subs in Pakistan's inventory ASAP

I actually prefer the French Subs - our main criteria for delivery is with in 40-50 months ...delievery if the germans will deliver in 10 years its better to go with Frech subs -


As for kick backs every deal has it its called courtesy and thank you by the company , and people who do business with large corporation know its part of culture .... get over it already -
:what:
Ever seen how NBA gives gifts to players who sign up for contract with teams , they players get cars/appartments , free gifts etc as thank you - and there is nothing wrong with Kick backs-

Its part of business -


ALL MILITARY - AND CIVILIAN BUSINESES ARE DONE WITH KICK BACKS GET OVER IT ...

The companies take the people of opposing delegates to lunches, free shows , entertainment and other perks - All the time -

Only thing I ask is if the kick backs were indeed true did Mr Zardari or who every paid INCOMETAX on that amount of extra income - that is all I care about -
 
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are u suggesting a fruit basket worth $4.3 million??? How will he pay taxes on it .. when the tax payers are already paying the over inflated price for military equipment. What you are suggesting that we should tax bribes as a way to get some of our money back as kickbacks too?
 
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There is a difference between gifts offered to delegations , your honorable olympic delegations and soccer world cup delegation when they visit countries they all get gifts and treats - and stuff to allow them to choose a particular country ....

Germans did that to get 2006 world cup ...

Now we know Saudia Arabian prince was also paid -

These practices are part of Business Process - when you have 2-3 Solid items - sometimes you can break the deal with your accumen and business smartness its called closing a sale - its not called Kick Back.

All business deals have - client/client (sales strategies), some companies plan client entertainment trips , or client fun nights or client sports activity days , some give gifts its completely acceptable practice in western cultures. Anyone can give gift to anyone

Now if Agosta did not work or , if it had a hole that water leaked you can say ok we got screwed , we got TOT ... what else we need?

But the amount mentioned 4.3 million dollars is debatable and has to be proven frist , and then income tax should be the #1 charge against Mr Zardari (If proven)

Other then that - all business dealing have kick backs those of you who say no it ain't so just look around the world -

Sure may be in Pakistan its not common but taking care of clients is a corporate strategy to close deals - this is how things are done in west (its called client management) but we tend to disrupt our whole gov , due to issues that weaken our country

If there were kick backs - there should be a recipt / cheque , and bank where it was cashed - its very easy to disrupt democracy but its hard to find the cheque numbers and bank data ...

In any case, all I care about is we close the Merlin and German Subs deal , if someone on our side also makes some cash on side great ... just pay taxes , need to get 20 subs
 
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