This Article is From Jun 11, 2012

CBI gets permission to probe ex-BEML chief Natarajan in Tatra case

CBI gets permission to probe ex-BEML chief Natarajan in Tatra case
New Delhi: The Central Bureau of Investigation (CBI) has got the Centre's nod to probe the role of VRS Natarajan, former head of the government-run defence unit Bharat Earth Movers Limited (BEML), in connection with the controversial Tatra truck deal. Mr Natarajan had been suspended earlier in the day based on a recommendation by the CBI. A case has been registered against him in the truck deal wherein the CBI has accused Mr Natarajan of trying to influence the investigation against him.

Mr Natarajan was allegedly coaching the testimony of other officials at BEML, despite warnings from the CBI.

Mr Natarajan has said he respects the government's decision.

BEML, based in Bangalore, supplies what are known as Tatra trucks to the Army. The CBI is investigating whether the defence public sector unit violated guidelines in buying and supplying the trucks to the Army. The alleged violations include allowing a middleman to broker the deal - defence equipment has to be bought directly from the manufacturer. The trucks were also allegedly over-priced.

Before he retired in May, then Army Chief General VK Singh said that he has been offered a bribe of Rs 14 crore to clear the purchase of 600 sub-standard Tatara trucks for the Army. Mr Natarajan said the General's assessment of the trucks was incorrect; he warned that unless the general apologised, he would sue him for defamation.

Last week, the Defence Ministry asked Mr Natarajan to explain why he had made this statement without any clearance from the government.

Mr Natarajan has also been pulled up by the Company Law Board in Chennai, which suggested that he had tried to suppress documents that would have revealed mismanagement and misuse of funds by a joint venture set up by BEML to explore opportunities in the mining sector. The legal cell of the Criminal Investigations Department in Hyderabad has also recommended that Mr Natarajan be prosecuted for cheating, criminal breach of trust, and falsification of accounts in the same joint venture case.

In April this year, the CBI raided and interrogated Mr Natarajan in Bangalore for alleged irregularities in hiring a consultancy firm for BEML.

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