Thursday, April 21 2005 20:33 Hrs (IST) - World Time -

New Delhi: The Government has handed over all files pertaining to dealings with South African state-owned armament major Denel during the tenure of former Defence Minister George Fernandes to the CBI for preliminary investigations to find out whether there was any malafide intent.

"The preliminary probe is on to examine all dealings of the company with India to find out what went wrong," Defence Minister Pranab Mukherjee said. All contracts with the South African firm reached by the previous NDA (National Democratic Alliance) regime had been "put on hold" till initial examination is completed, he added. After the preliminary probe, the Government would consider as to what kind of an inquiry should be conducted.

Mukherjee indicated that it would be the CBI which would be handed over the cases as these pertained to dealings with foreign suppliers.

He said under the agreement reached by the previous regime, the company was to supply a large number of bunker-buster anti-material rifles.

Denel had already supplied 300 guns and some being in the pipeline would remain frozen now, he said.