NEW DELHI: With the UPA-II's tenure coming to an end, France had wanted India to sign a pact to provide government guarantee for completion of negotiation for 126 fighter aircraft with Dassault company but defence minister A K Antony has refused to do so.
France, whose company Dassault has been shortlisted for supplying the multi-role medium combat Rafale aircraft, had proposed the signing of the agreement apparently to ensure that negotiations for the multi-billion dollar deal do not get affected if a different party comes to power after the Lok Sabha elections.
"The French side wanted government guarantee to the negotiations," sources said.
Antony, however, refused to sign such an agreement, arguing that governmental guarantee cannot be provided as negotiations were still underway, they said.
The defence ministry is still negotiating the price and terms and conditions of the contract with the French firm Dassault Aviation, whose Rafale combat aircraft was selected as the lowest bidder two years ago for supplying 126 warplanes.
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