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Sri Lanka: A suspicious contract in Navy

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Tuesday, 09 October 2007
Navy has provided a contract to supply electronic surveillance systems for high power patrol crafts to an Israeli company named Hont Raffael that was earlier blacklisted by a Presidential Commission appointed to probe the malpractices in military procurement.

Navy senior officials say this contract is not only a malpractice but a waste of public money. They point out that the entire electronic surveillance systems are needed to be replaced since they are older then 15 years old whilst only the camera has been imported from the Israel company.

Tenders were called to acquire ten numbers of the said electronic surveillance systems last September. They are needed to show the targets to the automatic Bush Master 30mm and 23mm artillery guns day and night.

Hont Raffael of Israel, Cantronic of Canada and NCS of Singapore tendered bids and the Israel company had bid only to replace the camera. It was priced at $ 2.5 million per unit. The other companies bid to replace entire systems. The contract was sealed to the Israel company without considering the quality of the service.

The same company obtained a similar contract when Daya Sandagiri was the Navy Commander and the Navy had to warn to the company to reacquire the parts they removed and kept for two years without repairing.

Navy officials raise serious doubts over allowing such a company to remain in military supplies to the country.

The deal has been approved by the Defense Secretary by now.

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