Palme, not Win Chadha, acted as Bofors agent: Jethmalani

The Europe-based Hinduja brothers today alleged that it was then Swedish prime minister Olof Palme who had acted as an agent of arms manufac...

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The Europe-based Hinduja brothers today alleged that it was then Swedish prime minister Olof Palme who had acted as an agent of arms manufacturer A B Bofors, in ‘‘national interest’’, to help the company bag the contract for the supply of 155-mm Howitzer guns to India in March 1986.

During arguments in the Rs 64-crore Bofors payoff case, Hinduja brothers’ counsel Ram Jethmalani told Special Judge Prem Kumar today that Palme helped Bofors bag the Rs 1437.72-crore contract for supply of 400 Howitzer guns to the Indian Army.

‘‘It was Palme and not Win Chadha or anybody else who acted as Bofors agent and clinched the deal for it. In fact, he (Palme) was trying to further the economic interests of Sweden,’’ Jethmalani told the special judge.

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When the court asked if there was much more behind Palme’s help to Bofors than mere furthering of the economic interest of his country, Jethmalani replied in the negative.

He said that Palme had met his Indian counterpart, Rajiv Gandhi, in October 1985 in New York and later here in January 1986 and claimed that their personal relationship played an important role in the contract going to the Swedish company.

‘‘Maybe Sofma (the French arms manufacturer) could not get the contract because the French president did not see the Indian prime minister,’’ Jethmalani said, adding, ‘‘Where are the poor Hindujas?’’

The Hinduja brothers, Srichand, Gopichand and Prakashchand, are accused of taking an illegal commission of about Rs 16 crore from Bofors for helping the company clinch the controversial gun deal.