CBI arrests ex-IAF Chief Tyagi, 2 others

Syed Ali Ahmed

Tribune News Service

New Delhi, December 9

The Central Bureau of Investigation today arrested former Indian Air Force chief SP Tyagi, his cousin Sanjeev Tyagi, alias Julie Tyagi, and lawyer Gautam Khetan on charges of irregularities in the procurement of 12 VVIP helicopters from AgustaWestland. 

The three will be produced before a CBI court tomorrow.

Tyagi, 71, is accused of influencing the Rs 3,600-crore deal in favour of UK-based 

helicopter manufacturer AgustaWestland during his tenure as the IAF Chief from 2004 to 2007. Tyagi has repeatedly denied the allegations. 

A CBI statement said: “A case was registered on March 12, 2013 under sections 120B and 420 of the Indian Penal Code and sections 7, 8, 9, 12 & 13(2), 13(1)(d) of the Prevention of Corruption Act, 1988 against then Chief of Air Staff and 18 others.  It was alleged the Chief of Air Staff (CAS) entered into criminal conspiracy with other accused persons and in 2005, conceded to change IAF’s consistent stand that service ceiling of VVIP helicopters (6,000 metres) was an inescapable operational necessity and reduced the same to 4,500 metres. Such changes in operational requirements (ORs) made the private company based in UK eligible to participate in the request for proposal (RFP) for VVIP helicopters.”

“It was revealed during investigation that such undue favours were allegedly shown to the UK-based private company by accepting illegal gratifications from the accused vendors through middlemen/relatives, including his cousin and an advocate, etc, who accepted the illegal gratification for exercising influence through illegal means, or using personal influence over the public servants concerned,” the statement said.

Sources said based on the CBI complaint, the Enforcement Directorate (ED) had booked the former Air Force chief and some members of his family. In July 2014, the ED registered a case under the Prevention of Money Laundering Act against Tyagi and 20 others. He was questioned repeatedly by the ED and for four days by the CBI this year.

Sources say investigations have revealed that the Tyagis allegedly entered into a consultancy deal with middlemen in 2004, when Air Chief Marshal Tyagi’s cousins were certain he would be the next Air Force chief and in a position to influence the deal.

The sources said Tyagi is accused of reducing the required flying ceiling for VVIP helicopters from 6,000 m to 4,500 m thereby helping AgustaWestland to qualify for deal. The CBI said payments were made through Tunisia-registered companies controlled by Switzerland-based intermediaries Guido Haschke and Carlo Gerosa and transferred to accounts in India and Mauritius.

While investigating the case, the CBI had issued Letter Rogatory (judicial request) to multiple countries to gather more leads and evidence, the sources said. SP Tyagi was allegedly paid kickbacks by middlemen through cousins, Julie, Sandeep and Dosca Tyagi, the sources said.

Rs 450-cr bribery case

August, 1999: IAF proposes replacement of Mi-8s due to operational constraints

March, 2002: A global request for proposals issued

March, 2005: IAF changes key requirements in acquisition favouring AgustaWestland 

February, 2010: MoD concludes contract with AgustaWestland for 12 helicopters 

February, 2012: Amid reports of ‘unethical’ dealings, MoD seeks report from embassy in Rome

March, 2013: CBI registers FIR against Tyagi, 18 others

January, 2014: Government terminates pact with AgustaWestland

May 2, 2016: CBI begins grilling Tyagi

December 9: SP Tyagi, cousin

Sanjeev Tyagi, alias Julie, and lawyer Gautam Khaitan held