The controversy dates back to the final months of the Emergency under then Prime Minister Indira Gandhi, when Indian Airlines decided to purchase three Boeing 737 aircraft.

New Delhi: BJP MP Nishikant Dubey on Saturday accused former Prime Minister Rajiv Gandhi of exerting undue influence over a 1977 Indian Airlines aircraft purchase, claiming he intervened to secure a Boeing deal for personal commission instead of opting for Airbus, despite opposition from key government bodies.
In a post on X, Dubey directly targeted Congress MP and Leader of Opposition in Lok Sabha Rahul Gandhi, questioning his father’s alleged involvement.
“Rahul Gandhi ji, in the pursuit of commission in 1977, did your father get Air India to purchase three Boeing aircraft instead of Airbus? Did your father attend meetings illegally without any authority? Did the opposition from the Planning Commission and the Finance Ministry not apply to your family for the sake of the commission?” he wrote.
The controversy dates back to the final months of the Emergency under then Prime Minister Indira Gandhi, when Indian Airlines decided to purchase three Boeing 737 aircraft.
The deal was later examined by the Shah Commission, which was set up in 1977 to investigate excesses during the Emergency. The commission found that the process was hurried and bypassed established procedures, pointing to irregularities in decision-making and the unusual presence of Rajiv Gandhi, then a pilot with Indian Airlines, in official meetings.
The Shah Commission’s report highlighted that Rajiv Gandhi attended a crucial meeting in September 1976, where financial projections favouring Boeing were presented by the Director of Finance.
The commission noted that his participation was “totally outside the ordinary course of business” and raised questions about why a pilot was privy to confidential financial discussions.
Dubey shared excerpts from the report, which detailed procedural lapses and recorded that the deal “broke all standard rules and requirements” without any evidence of comparative trials or feasibility studies.
The report also noted that the signing of the contract with Boeing took place after the company’s offer had technically expired, suggesting undue haste and political pressure from the Prime Minister’s Office.
The procurement, worth Rs 30.55 crore, reportedly faced resistance from both the Planning Commission and the Finance Ministry, but was allegedly pushed through under instructions from Indira Gandhi’s office.
Witness testimonies before the Shah Commission cited political interference and irregularities surrounding the deal, further fuelling allegations of corruption and misuse of authority.
Published: 18 Oct 2025, 10:28 am IST
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