As Defence Minister, V. P. Singh launched probes into alleged kickbacks in defence deals, including Bofors, leading to political tensions and his resignation in 1987.
The scandal and Singh’s exit created a perception of a cover-up, breaking Rajiv Gandhi’s ‘Mr Clean’ reputation and sparking nationwide outrage.
Riding on an anti-corruption wave, V. P. Singh emerged as a key opposition leader, leading to Congress’ defeat in 1989 and his rise as Prime Minister.
In April 1987, a major political turning point unfolded in India during the tenure of Prime Minister Rajiv Gandhi. Just a few months earlier, in January 1987, he had appointed Vishwanath Pratap Singh, popularly known as V. P. Singh, as the Defence Minister. However, this decision soon proved to be politically costly.
As Defence Minister, V. P. Singh remained firm on his anti-corruption stance. Even while being part of Rajiv Gandhi’s cabinet, he was not hesitant to question his own government. During his short tenure from January 24 to April 12, 1987, Singh raised serious concerns over alleged corruption in defence deals and even cast doubts that indirectly put the Prime Minister under scrutiny.
In a dramatic move, Singh resigned from the cabinet after initiating investigations into controversial defence deals. His resignation triggered a political crisis within the Congress party and dealt a severe blow to Rajiv Gandhi’s carefully cultivated “Mr. Clean” image. What began as an internal inquiry quickly escalated into a national controversy, raising questions about transparency and accountability at the highest levels of government. Public outrage grew, eventually reflecting in the 1989 general elections, where Congress lost power and V. P. Singh rose to become Prime Minister.
The controversy centered around what came to be known as the Bofors scandal. While serving as Defence Minister, Singh uncovered evidence suggesting illegal kickbacks in foreign arms deals. He ordered inquiries into commissions paid to middlemen, including a $23 million payment linked to defence purchases. Investigations were also initiated into deals involving HDW submarines and Bofors guns from Sweden.
Notably, Singh ordered these probes without prior consultation with Rajiv Gandhi, which led to increasing political pressure and internal dissent within the Congress party. His actions caused discomfort within the government and ultimately led to his exit. After his resignation, Singh emerged as the face of the anti-corruption movement, with many people beginning to question the integrity of the ruling party.
The situation intensified when Swedish radio reported that bribes had been paid to Indian politicians and intermediaries to secure a ₹1,500 crore contract for supplying 155 mm howitzer guns to the Indian Army. The report, broadcast on April 16, 1987, alleged that the Swedish arms manufacturer had paid large sums to ensure the deal. Despite these revelations, Rajiv Gandhi denied the allegations in Parliament and maintained that no middlemen were involved.
Singh’s removal created a strong perception among the public that the government was attempting to suppress corruption investigations. This further damaged the credibility of the Congress leadership and deepened the political crisis.
However, Singh’s journey did not end there. He gained widespread recognition as an honest and principled leader. In 1988, he played a key role in the formation of the Janata Dal and helped build the National Front coalition. Riding on a wave of anti-corruption sentiment, the coalition won the 1989 general elections, and V. P. Singh was sworn in as India’s Prime Minister in December 1989.
His tenure as the 7th Prime Minister of India was short-lived, ending in November 1990 after political instability and a loss of majority. One of his most significant decisions during this period was the implementation of the Mandal Commission recommendations, which provided reservations in government jobs for Other Backward Classes, a move that had a lasting impact on India’s social and political landscape.
In the investigation of the Bofors scandal, journalist Chitra Subramaniam from The Hindu played an important role by uncovering evidence of money transfers to Swiss bank accounts. The issue was first brought to light by a Bofors employee who provided the initial information. During the probe, several names surfaced, including Italian businessman Ottavio Quattrocchi and companies linked to the Hinduja brothers.
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