New Delhi, September 26
As the internal investigation by the Indian Airlines in the “pilots training scam” allegedly points to the involvement of at least three senior level officers including a Deputy Managing Director of the corporation, it has emerged that the deal for training the pilots abroad was signed without taking proper and prior written clearance from the Chairman-cum- Managing Director of the public sector airline.

While the senior officers of the corporation took “in principle” clearance from the then CMD, Mr Sunil Arora, but seemed to be in a hurry to finalise the deal. Officials who went to England to only review and negotiate the deal actually returned after signing the deal for almost Rs 8 crore.

The Tribune had on Saturday reported that the Indian Airlines had in an improper manner outsourced the training of pilots to an English firm when the same equipment (simulators) was also available with the airline at its academy at Hyderabad. Besides the airline was now facing a court case for the recovery of damages by the firm to which the job had been contracted and later withdrawn. Not only was the corporation facing the case for the recovery of damages which run into crores but the internal inquiry carried out suggested that the contract with the English firm was signed by unauthorised persons and apparently after creating artificial manpower shortage.

The inquiry carried out by the Chief Vigilance Officer (CVO) of the Indian Airlines has brought to light the fact that not only was the firm, to which the training was outsourced, “identified” for the job before taking the “in principle” clearance from the then CMD, but the same firm had also been shortlisted for providing training to some of the experienced ATR pilots to fly the A-320 aircraft.

The inquiry has also pointed out that the English firm, M/s Storm Aviation was just an agent company and was further outsourcing work to other companies. The first batch of five Indian Airlines pilots were actually sent to Dubai for training rather than to England.

Sources said the deal with Storm Aviation was signed on October 15, 2004 and after sending the first batch of pilots it was put on hold on October 31, 2004 itself. However an inquiry into the matter was taken up by the vigilance department of the Indian Airlines after the then CMD wrote to the CVO to take up the matter.

In his letter (a copy of which is available with The Tribune) the then CMD said that although the matter was discussed with him verbally in August 2004 for sending some senior Tarinee Pilots to Airbus Industrie (France) to ensure early availability of requisite number of pilots to meet the projected requirements, “after discussion, no note, however, was put up for my approval”, the CMD said.

He further said, perusal of file reveals that Messrs Storm Aviation Group were contacted by Director, Operations, in the first week of September, 2004. As a sequel to this, M/s Storm Aviation Group have referred to their telephonic talk on this subject with Director, Operations, in their letter dated September 10, 2004, vide which they had sent their proposal and DGCA’s approval was obtained on September 22, 2004, for A-320 Simulator Training at Gatwick, UK without taking his (then CMD) prior approval.

“This shows that matter regarding training of pilots in UK had already been decided and even a party had been identified.” He further said that it is obvious that no post facto approval in reference to the discussions held in August 2004 was taken. A team of IA officials was sent in October 2004 only to review and negotiate the cost and other associated matters connected with the training.

“The concerned IA officials, however, during their visit executed an agreement with Messrs International Aviation Corporation Limited, UK, and Indian Airlines for training of pilots, without formal approval and vetting by legal advisor. It is not at all clear as to who authorised these officials to execute the agreement”, he said in his letter to the CVO.

While handing over the matter to the CVO for investigations, the then CMD said that the manner in which the concerned officials dealt with the above matter gives a feeling that selection of the vendor was pre-decided and the first batch of trainee pilots was sent even before formal execution of the agreement on October 15, 2004 with the training schedule commencing from October 16, 2004 itself.

“Prima facie, it appears that certain key requirements of the decision making in this matter seem to have been wilfully ignore/sidestepped. I therefore, deem it proper to entrust the investigation of this matter to the CVO,” he said.