Bofors: CBI to send LRs to the US seeking information from private detective

New Delhi: The CBI will soon send a judicial request to the United States seeking information from private investigator Michael Hershman who had expressed willingness to share with Indian agencies crucial details about the Rs 64-crore Bofors bribery scandal of the 1980s, officials said Sunday.

The Central Bureau of Investigation (CBI) has also informed a special court, which is hearing the agency's plea for further probe into the matter, about the developments.

The process to send the Letters Rogatory (LR) was initiated in October this year, and it is expected to take around 90 days before the formal request is sent to the US, aimed at obtaining information to further investigate the alleged bribery case, the officials said.

A Letter Rogatory is a written request sent by the court of one country to the court of another country to obtain assistance in the investigation or prosecution of a criminal matter.

The Delhi High Court had exonerated former prime minister Rajiv Gandhi in 2004, and a year later, it quashed all charges against the remaining accused, including the Hinduja brothers, in the politically sensitive case.

Italian businessman Ottavio Quattrocchi, the alleged middleman in the payoff case, was discharged in 2011 by a court which allowed the CBI to withdraw prosecution against him.

The case involves allegations of a Rs 64-crore bribe in a Rs 1,437-crore deal with Swedish firm Bofors in the 1980s during the then Congress government for the supply of 400 155mm field howitzers, which played a significant role in India's victory during the Kargil war. The case was closed in 2011.

Hershman, head of the Fairfax Group, visited India in 2017 to attend a conference of private detectives. During his stay, he appeared on various platforms, alleging that the investigation into the scam was derailed by the Congress government and stated he was willing to share details with the CBI.

The CBI took note of his claims in several interviews and announced in 2017 that the matter would be investigated according to due process.

The agency informed the special court that, following Hershman's revelations, it plans to reopen the investigation.

The CBI had previously sent letters and reminders to US authorities on November 8, 2023, December 21, 2023, May 13, 2024, and August 14, 2024, but received no information, with the US authorities requesting additional time.

The central agency has now opted to pursue the LR route, where a competent court sends a formal request for information to the relevant authorities in the US, subject to clearance from the Indian government.

The CBI had registered the case in 1990, three years after a Swedish radio channel had alleged that bribes were paid by Bofors to politicians and defence officials of India to clinch the deal. The allegations created a big scandal for the Rajiv Gandhi Government and have been used by rival parties to target the Congress.

The CBI filed the chargesheets in 1999 and 2000. The Delhi High Court had exonerated Rajiv Gandhi in 2004, nearly 13 years after he was assassinated by LTTE in a suicide attack. In 2005, the High Court quashed all charges against the remaining accused noting that the CBI failed to prove that the money transferred by Bofors to various agents by Quattrocchi was meant to be paid as a bribe to public servants in India.

The CBI appealed against the 2005 decision in apex court in 2018 but it was dismissed on the grounds of delay. The Supreme Court, however, allowed it to raise all the points in an appeal filed by advocate Ajay Aggarwal in 2005.