Union Government suspended BEML Chief VRS Natarajan

The Union Government of India on 11 June 2012 suspended VRS Natarajan, the head of the state-run defence enterprise Bharat Earth Movers Limited (BEML). The government’s move came in the wake of CBI’s recommendations to remove him from his position given his role in the controversial Tatra truck deal. The investigating agency had accused Natarajan of trying to influence the investigation against him.

The Bangalore based BEML supplies Tatra trucks to the Army. Former Army Chief  VK Singh had accused that he was offered a 14 crore rupees kickback to approve the purchase of 600 sub-standard Tatara trucks for the Army. The government had ordered a CBI inquiry in the Army Chief’s allegations.  The CBI is investigating whether the defence public sector unit violated guidelines in buying and supplying the trucks to the Army.

Natarajan, as the head of the BEML had maintained that the Army Chief's assessment of the trucks was grossly wrong. The legal cell of the Criminal Investigations Department in Hyderabad had also recommended the prosecution of Natarajan for cheating, criminal breach of trust, and falsification of accounts in the same case.