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Indian Supreme Court okays probe into Bofors scandal
NEW DELHI. Sept 5: India s Supreme Court on Friday suspended a Judgment which blocked investigations Into bribery charges in a 1.3 billion Swedish arms deal signed by the government of former Prime Minister Rajiv Gandhi, reports Reuter.
A three-Judge bench of the Supreme Court admitted an appeal by the federal Central Bureau of Investigation (CBI) against Wednesday s judge menl by the Delhi High Court, which quashed the case be cause police had failed to name any suspects tn 31 months of investigations.
The bench said the appeal would be heard on September 17 and the suspension, or slay, would be in operation until at lest then.
The judges hearing the ap peal will decide whether to ex
tend the stay or not. the bench said
The High Court judgement would have virtually ended in vestlgation into the scandal, which erupted in 1987 when Swedish radio said Swedish arms maker AB Bofors paid bribes to win a 1.3 billion dol lar artillery order from India
The bribery charges have not been proved but they created a major political furore, leading to accusations by the opposition and the media that Gandhi and senior aides were Involved
The Bofors scandal was a major factor In the defeat of Gandhi s Congress party gov ernment In the 1989 elections.
Gandhi, who always vchc mcntly denied the allegations, was assassinated tn May. 1991
Investigations established that Bofors paid up to 53 mil-
lion dollar Into secret Swiss bank accounts which have been frozen following appeals by Indian authorities. The owners of the accounts and the rectoients of the funds have not been identified.
The High Court had also ordered the CBI io withdraw letters to Swedish and Swiss authorities asking for coopera tlon In the investigations
The Supreme Court said The Delhi High Court Judge menl shall not be utilised In any Swiss court for the release of any frozen account or the release or return of any Information or documents "
Bofors officials said the money in the accounts was paid as winding up charges lo agents after the Indian gov ernment stipulated that no middle-men were lo be in-\nhi-d in the negotiations.