CBI probing govt officials based on info from US report: Govt

Last Updated: Wednesday, December 2, 2009 - 19:26

New Delhi: The CBI is investigating certain
officials from Ministry of Railways, Defence, Department of
Agriculture and Cooperation, Revenue and also the Maharashtra
government based on a US report that American companies had
made illegal payments to them.

"The Indian Ambassador in USA has informed the
government that several references regarding illegal payments
to the officials in India have been made in the US report on
the Foreign Corrupt Practices Act (FCPA) and Anti-corruption
Enforcement for the second half of 2008 and early part of
2009," Minister of State in Ministry of Personnel Prithviraj
Chavan said in a written reply to Lok Sabha today.

He said in September, 2009, the CVC had asked the CBI to
look into each of these instances of corruption and furnish a
report. The Commission also held a meeting with the concerned
departments for expeditious action.

Giving out the details, Chavan said the companies which
are alleged to have made improper payments are Westinghouse
Air Brake Technologies Corporation (Webtec) whose Indian
subsidiary is Pioneer Friction Ltd, York International
Corporation and its Indian subsidiary York India.

Other companies are Dow Chemicals Corporation and its
Indian subsidiary Nocil Corporation protection Ltd, Pride
International Inc and its Indian subsidiary Pride Foramer and
Richard Morlok and Mario Covino.

"From the said US report, it infers that the officials
belong to the Ministry of Railways, Ministry of Defence,
Department of Agriculture and Cooperation, Department of
Revenue and Government of Maharashtra," he said.

He said in view of the report of improper payment to a
key official in Directorate of Plant Protection, Quarantine
and Storage, Faridabad by De-Nocil, a subsidiary of Dow
Chemicals, an inquiry was ordered by the Department of
Agriculture and Cooperation into the matter and a case was
registered by CBI in 2007.

The Ministry of Defence has constituted a Board of
Officers for investigating the allegations pertaining to
Indian Navy. The Ministry of Railways have suspended business
dealings with Pioneer Friction, Kolkata and Webtec, USA.

"A detailed inquiry has also been ordered by the State
Government of Maharashtra in respect of alleged improper
payment made by Richard Morlok and Mario Covino," the Minister
said.

PTI



First Published: Wednesday, December 2, 2009 - 19:26

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