Question : Approval to the MoU Proposal with OEM

(a) whether the Government has received any letters from Members of Parliament with regards to the delay in according approval to the MoU proposal with Original Equipment Manufacturer (OEM) for the manufacture of small arms NBP pistols;

(b) if so, the details thereof and the response of the Government in this regard;

(c) whether the Government had conducted any probe suppressing the company verification in the facility of OEM on 2 August, 2017; and

(d) if so, the details thereof and the status of the probe?

MINISTER OF STATE (DR. SUBHASH BHAMRE)
IN THE MINISTRY OF DEFENCE
????? ????? ?????? (??. ????? ?????)

(a) Yes Madam, a letter was received from Hon’ble Member of Parliament stating that Grand Power Slovakia and DCD-Grand Power India (Pvt) Ltd, India had submitted an Expression of Interest (EoI) for co-production of state-of-the-art small arms to Rifle Factory Ishapore and the same was pending for approval.

(b) A proposal for signing a Memorandum of Understanding (MoU) was forwarded by Ordnance Factory Board (OFB) to the Department of Defence Production in March 2017. The MoU was returned to OFB in July 2017 as it was found deficient in terms of procedure followed. Earlier in September 2016, OFB had been asked to formulate a Standard Operating Procedure (SOP) for selection of the technology partners. The draft SOP for selection of technological partners submitted by OFB in August 2017 was examined in the Department of Defence Production and OFB was directed to incorporate the suggestions of the Ministry. The revised SOP, incorporating the suggestions of the Ministry, was submitted by the OFB in February 2018 which after examination has been approved by the Ministry in March 2018.

(c) & (d): On enquiry, it has been informed by the Defence Attache, Prague, Embassy of India, Slovakia that he had visited the firm M/s Grand Power, Slovakia on 2nd August 2017 for evaluation / verification of the credentials of the firm based on a request from Ministry of Home Affairs through Ministry of External Affairs and in this regard a report was submitted by the DA to the Ministry of External Affairs.

*******