I am referring, of course, to the Republic of India, which has a long history of incompetent weapons development programs (Arjun tank, Kaveri engine, etc.) and corrupt foreign purchases.

We have one of the latter right now, with the India Ministry of Defense cancelling a helicopter purchase in response to a bribery scandal:

India has reacted to the scandal surrounding its purchase of 12 VVIP-roled AgustaWestland AW101 helicopters with the apparent cancellation of the €556 million ($776 million) deal.

In a statement posted late on 1 January on the Indian ministry of defence website, it says it has “terminated with immediate effect the agreement that was signed with AgustaWestland on 8 February 2010 for the supply of 12 VVIP/VIP helicopters on grounds of breach of the pre-contract integrity pact”.

Although the Anglo-Italian manufacturer had been pressing for arbitration talks to resolve the stalled deal, New Delhi has seemingly rejected this.

“Based on the opinion received earlier from the attorney general of India, it has been the view of the government that integrity-related issues are not subject to arbitration,” it says.

Nonetheless, there appears to be some ambiguity about its position until the country’s attorney general offers a fresh opinion. “However, [AgustaWestland] has since pressed for arbitration and appointed an arbitrator from its side. In view of this [the ministry of defence] sought afresh the opinion of the attorney general. With a view to safeguard the interests of the Government, [it has] nominated Mr Justice BP Jeevan Reddy as its arbitrator.”

………

A total of €51 million is alleged to have been paid as kickbacks by AgustaWestland to secure the order, an accusation strenuously denied by the company.

I have no clue why much smaller nations, like Israel and Sweden, manage to create sophisticated and effective weapons systems.