New Delhi:
The CBI today conducted searches at the office and residence of BEML chief VRS Natarajan in connection with alleged irregularities in hiring of a consultancy firm. Just two days ago, Mr Natarajan was grilled by the investigation agency for over eight hours.
According to sources, today's raids are probing a tender awarded by the BEML to Coimbatore-based Astral. An FIR filed in this connection names Mr Natarajan as the main accused. CBI sleuths seized some documents from his office today.
The extensive questioning on Tuesday was however to do with the CBI's probe into the Tatra-Army trucks deal case. BEML or Bharat Earth Movers Limited is one of India's biggest defence public sector units based in Bangalore. Tatra is a Czech truck manufacturer which supplies parts to BEML. The trucks are assembled at BEML and sold to the Army. Tatra deals with the Army came under scanner after Army Chief General VK Singh disclosed last month that he was offered a bribe to clear "sub-standard" trucks. The Army has bought 7000 Tatra trucks since 1986.
Mr Natarajan is not an accused in the Tatra case. The CBI only wanted him to clarify his stand on certain decisions that were taken by the BEML while signing memorandums of understanding (MoUs) with Tatra.
There is also a third headache for Mr Natarajan. NDTV has accessed an internal report of the Criminal Investigation Department's legal division in Hyderabad which opines that criminal action can be taken against him for cheating, criminal breach of trust and falsification of accounts.
The CID is investigating allegations and counter allegations made by BEML and its joint venture partner Midwest Granite, where both companies have accused the other of cheating, causing losses and misappropriation. BEML-Midwest is a Joint Venture Company (JVC) was promoted in 2007 to explore the mining sector.
The report says Mr Natarajan "became self-centred and started doing business for personal benefits... He also deliberately suppressed facts and dishonestly transferred the loss, by making the contract from his parent company (BEML) to the JVC due to which the latter was put to Rs. 2 crores loss."