The Hindu Business Line : Pathak report: Natwar provided political contacts

The Justice R.S. Pathak Inquiry Committee report on the United Nations oil-for-food programme in Iraq, which has roped in the former Foreign Minister, Mr Natwar Singh, his son Mr Jagat Singh, and some other individuals, reveals that it was initially a commercial deal worked out by two businessmen, Mr Andaleeb Sehgal and Mr Aditya Khanna, and that Mr Natwar Singh came into the picture when the need was felt to have some political contacts in Iraq.

The Pathak Committee report, placed in Parliament on Monday, traces the course of events and comes to the conclusion that Mr Sehgal was entrusted with the job of getting the allocation of oil under the oil-for-food programme and to prepare the groundwork in Iraq while Mr Khanna was entrusted the responsibility of finding a company suitably qualified for actually lifting the oil.

Panel findings

According to the Committee's findings, Mr Khanna and Mr Sehgal were informed about the difficulties in doing business in Iraq and were told that getting oil contracts from Iraq's State Oil Marketing Organisation was possible only if they could invoke the help of someone who enjoyed some influence with the political leadership of Iraq.

"At this stage, it appears that Mr Jagat Singh offered to help in securing the contracts for oil by using the name or help of his father, Mr Natwar Singh," the report says.

The report goes into details of how Mr Jagat Singh and Mr Sehgal joined a Congress party delegation along with Mr Natwar Singh and others to Iraq and how they were introduced to the high-ups in the Iraqi political set up.

Beneficiary

Consequently, the Committee has come to the conclusion that Mr Natwar Singh was a beneficiary in so far as the role played by him in influencing and facilitating the procurement of the contracts that had fructified. There is no material to show that Mr Natwar Singh derived any financial or other personal benefits from the contracts, the report says.

The inquiry also found no evidence that the Congress party was involved in the contract and that it derived any benefit at all from the contract.

The Government told Parliament that it had accepted the conclusions of the Committee and was forwarding the report in its entirety to the Directorate of Enforcement, the Central Board of Direct Taxes and the Central Board of Excise and Customs "for any action as may appear to them warranted under law." Indications are that these agencies would look into the financial transactions of Mr Sehgal and Mr Khanna to see whether any irregularities were committed while executing the contract.

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