Tatas say no group firm paid bribes in Nigeria

The Tata group today said that no Tata company or its subsidiary had made any illegal payment to any member of the Abacha regime in Nigeria.

The Tata group said in a statement today that a scrutiny of the records of Tata group firms showed only two significant transactions in Nigeria during the Abacha regime. These related to the supply of 1,952 vehicles in 1996-97 by Tata Engineering and Locomotive Company.

"The vehicles were sourced in the normal course of business by the company's distributor in the region on behalf of Trucks And Tractors for Africa Overseas Sales and Services Ltd. S.A. Full payments were received by Tata Engineering on shipment of these vehicles on an FoB (ex-Mumbai) basis, totalling a sum of just under $40 million. The vehicles were delivered for use by the Nigerian Defence Services and the Nigerian Election Commission," the statement said.

The statement was issued in response to a Financial Times report carried in Business Standard yesterday. The report had stated that according to a Swiss court, bribes were paid by several international companies, including the Tata group, to the Abacha regime.

The statement also said that the group had initiated steps to acquire a copy of the judgment. "We are yet to see a copy of this judgment and have taken necessary steps to procure it with a view to clarifying any observations made in it about the Tata group," the spokesperson said, adding, "We will take appropriate legal action to protect our name, should any allegations to the contrary be made."