Wikileaks: when India wanted Swedish subs with development funds | delhi | Hindustan Times
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Wikileaks: when India wanted Swedish subs with development funds

A secret US diplomatic cable dated May 8, 1974 talks about a proposed submarine deal between India and Sweden left the Swedes deeply embarrassed when India wanted the SJEE-ORM (Seasnake) subs to be funded from the Swedish International Development Authority (SIDA) aid programme.

delhi Updated: Apr 13, 2013 10:49 IST
HT Correspondent

A secret US diplomatic cable dated May 8, 1974 talks about a proposed submarine deal between India and Sweden left the Swedes deeply embarrassed when India wanted the SJEE-ORM (Seasnake) subs to be funded from the Swedish International Development Authority (SIDA) aid programme.

"In course of talks, Indians expressed hope that soft SIDA loans could be used to finance submarine deal request embarrassed Swedes, whose policy is to allow aid recipient complete freedom in choosing to what purpose aid funds should be put, but who thought aid financing of military purchases would be beyond SIDA's terms of reference," the embassy official quoted the source.

The proposed deal itself took shape because of close friendship between Swedish secretary of state for defense Anders Thunberg and the then India's minister of state for defence production VC Shukla.

The source was also quoted as saying that Indian purchases of $30 million worth of other military equipment, including the "Gustav Vasa" grenade launcher were also agreed during Thunborg's visit.