'The bank guarantees of Reliance Naval have been encashed and action has been taken (for not supplying five Offshore Patrol Vessels in time). There is no pressure from anywhere to not act against them,' Navy Chief Admiral Sunil Lanba said
New Delhi: Contrary to the Congress narrative that the Narendra Modi government was favouring industrialist Anil Ambani in defence projects, it has emerged that the defence ministry, led by Nirmala Sitharaman, has taken serious action against the Reliance firm by encashing their bank guarantees for a delay of more than four years in supplying warships to the Indian Navy.
The Congress has been alleging that the Modi government is supporting Anil Ambani in the defence sector, saying that he was given business worth over Rs 30,000 crore as offsets contracts in the Rafale combat aircraft deal.
"The bank guarantees of Reliance Naval have been encashed and action has been taken (for not supplying five Offshore Patrol Vessels in time). There is no pressure from anywhere to not act against them," Navy Chief Admiral Sunil Lanba said at the annual Navy Day press conference on Monday.
The Navy chief was asked if there was any pressure on the Navy to not act against the Anil Ambani firm from the government as the supply of five OPVs from the Reliance Shipyard has been delayed by more than four years now.
The bank guarantees are submitted by vendors as a security with the government for fulfilling the contractual obligations and if they are not able to fulfill their promises, the government has the right to encash them as a punishment.
The Navy chief stated that the Anil Ambani firm was going through Corporate Debt Restructuring and their bankers have taken them to court.
A number of projects of the Navy including the plan to procure four Landing Platform Docks worth around Rs 30,000 crore are stuck in direct or indirect way over the involvement of the Reliance firm.
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Last Updated Dec 3, 2018, 3:56 PM IST