New Delhi: Opposition in the Lok Sabha on Thursday alleged a “scam” in the export of non-Basmati rice to some African countries and demanded a probe by Joint Parliamentary Committee or CBI, which the Government rejected but promised an internal inquiry.
Commerce Minister Anand Sharma said each and every transaction that has been implemented will be "examined", "responsibility will be fixed" and "nobody will be spared if any infringement of rules is found".
The entire Opposition, which was insisting on JPC or CBI probe into the "scam", expressed dissatisfaction with the Government's response and staged a walkout.
"We are not sensationalising. But we ask the Government not to trivialise the matter. We are not satisfied with the response and are staging a walkout," Leader of Opposition LK Advani said after Sharma rejected their demands saying the Government should be given an opportunity to inquire on its own.
The matter was raised by BJD member Arjun Charan Sethi under Calling Attention Motion, who said that non-Basmati rice was exported to African countries despite a ban. He alleged a scam in it.
Sethi was joined by JD(U) leader Sharad Yadav, CPI-M leader Basudeb Acharia, BJD leader B Mahtab, BJP leader Gopinath Munde and SP leader Shailendra Kumar, who wanted JPC or CBI probe. Sharma said there was no violation of the ban on exports as it was relaxed "consciously" by an Empowered Group of Ministers in March 2009 because of "diplomatic considerations" after requests from the African countries, received at the level of Head of State or Government.
He said the exports, request for which was received in 2007, were not part of any humanitarian assistance or grant and hence rice was not procured by the Government but by private companies identified by the recipient countries.
"I reaffirm that the transaction was purely commercial. It was not in violation of rules of ban," he said while giving clarifications on the matter over which the Opposition and ruling members clashed repeatedly.
Rubbishing media reports that the exports were worth Rs 2500 crore, the Commerce Minister said the value of total procurement was about Rs 170 crore.
He said out of 13.5 lakh metric tonnes of rice exports sanctioned by the EGOM, only 1.22 lakh metric tonnes were exported, which constitutes 9 per cent.
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He, however, said that examination of transactions have revealed that "in some cases PSUs have infringed certain conditions contained in the Directorate General of Foreign Trade notifications for the export of non-Basmati rice."
Noting that the Government is "eager to get to the bottom of the issue", Sharma said "whatever infringement is found in the transactions implemented, responsibility will be fixed and action will be taken if anybody is found guilty." Advani said the "scam was not mere violation of guidelines" as was being made out by the government and wanted to know who the owners of the private firms were and who were "related".
Munde alleged that the exported rice did not reach the intended countries and asked "where did it go?"
Seeking to pick holes in Sharma's contention that the India-based companies were identified for procurement by the recipient countries, the BJP member alleged that a Letter of Credit was issued in the name of a Swiss firm.
Sharad Yadav also alleged that Letters of Credit came for these exports from Switzerland and the US and asked why no tenders were floated to select private parties.
Sethi wanted to know the quantity of exports carried out by the private parties and how much did the country lose by exporting rice at concessional rates.
Demanding a JPC probe, CPI(M) leader Acharia wanted to know how private entities were allowed to enter deals which were between Governments of India and of the African nations.
Mahtab said the government of Ghana, one of the recipient countries, had set up an inquiry into the rice deal as it suspects a scandal.
He also asked why Nigeria declined to accept the rice sent to them and whether private parties were involved in the export.
Shailendra Kumar maintained that the scam involved Rs 2,500 crore and sought a time-bound probe into the matter.
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