A recent report by The New York Times (NYT) has sparked controversy by claiming that Hindustan Aeronautics Limited (HAL), a state-owned aerospace and defense company in India, was involved in supplying sensitive technology to a Russian arms agency. However, sources have strongly refuted these claims, calling the report “factually incorrect and misleading.” They accused NYT of distorting facts to push a political agenda.

India Denounces “Misleading” Allegations

According to sources, the Indian entity mentioned in the NYT report has strictly adhered to international regulations regarding strategic trade controls and end-user commitments. They emphasized India’s robust legal and regulatory framework, which ensures its overseas commercial activities comply with global norms. The sources also urged reputed media outlets to conduct thorough due diligence before publishing such claims, stating that this was overlooked in NYT’s reporting.

HAL has not yet issued an official statement regarding the allegations.

The Controversial NYT Report

The controversy erupted following NYT’s publication of an article titled “Major Donor to Reform U.K. Party Sold Parts Used in Weapons to Russian Supplier” on March 28. The article alleged that British aerospace manufacturer HR Smith Group had supplied HAL with nearly $2 million worth of transmitters, cockpit equipment, and other sensitive technology. The report suggested that some of these parts, which Western nations have banned from being sold to Russia since the Ukraine war, were subsequently shipped by HAL to a blacklisted Russian arms supplier, Rosoboroneexport.

NYT claimed to have reviewed shipping records, stating that HR Smith had made 118 shipments of restricted technology to HAL between 2023 and 2024, amounting to $2 million. During the same period, HAL reportedly made 13 shipments of similar parts to Rosoboroneexport, valued at over $14 million. Rosoboroneexport is one of HAL’s major trading partners.

HR Smith Denies Wrongdoing

HR Smith’s lawyer, Nick Watson, told NYT that the company’s sales were legal and that the equipment in question was intended for an Indian search-and-rescue network. He insisted that the components were designed to support life-saving operations and were “not meant for military use.”

Despite this, legal experts consulted by NYT suggested that HR Smith may have violated international sanctions by failing to exercise due diligence over the sale of restricted items to India. Notably, the British government had issued a ‘red alert’ in December 2023, warning companies about the risk of sensitive equipment being redirected to Russia through third-party nations.

Summary:

1. India Rejects NYT Claims: Government sources have dismissed NYT’s allegations against HAL, calling them misleading and politically motivated.
2. NYT’s Accusations: The report alleged HAL helped supply restricted technology to Russia, indirectly violating Western sanctions.
3. HR Smith’s Defense: The British company claimed its sales were lawful and intended for civilian use in India.
4. Regulatory Concerns: Legal experts believe HR Smith may have failed to ensure compliance with international sanctions, despite prior government warnings.