08 March 2012

Update on Announcement on the Debarment (of ST Engineering) by Indian Ministry of Defence


Singapore, 8 March 2012 - Singapore Technologies Engineering Ltd (ST Engineering)'s land systems arm, Singapore Technologies Kinetics Ltd (ST Kinetics), refers to the earlier announcement made on 6 March 2012 in relation to media reports on the debarment by Indian Ministry of Defence (MoD) from business dealings with the Ordnance Factory Board (OFB).

Further to the announcement, ST Kinetics would like to update that it has since received an Order dated 5 March 2012 from the OFB ordering: (a) the "cancellation of all agreements" with ST Kinetics, specifically a Non-Disclosure Agreement signed on 11 August 2008 with the OFB; and (b) that ST Kinetics be debarred from entering into any contract with the OFB for a period of 10 years.

ST Kinetics is seeking legal advice on the Order by the OFB and intends to vigorously take appropriate actions to clear its name and defend its reputation.

As announced previously, ST Kinetics has never won any defence contracts in India.  This development has no impact on ST Kinetics' defence business as India has not been a market for its defence export sales.