Diplomatic Cable < India >

[Jay]

МИД РФ Ministry of Foreign Affairs​

AUTHENTIC COMMUNIQUE OF THE OFFICE OF FOREIGN AFFAIRS Security Clearance: Secure and Encrypted​

[Recipient]: Ministry of Foreign Affairs of India < Basedcnt > [Sender]: Minister of Foreign Affairs, Russian Federation < @LCAlbrechtMOFA.ru.gov > [Subject]: Bilateral Relations

Your Excellency, I wish to address a matter of considerable importance regarding the production of Russian equipment within India. It has come to our attention that certain equipment has been manufactured without prior consent from the Russian authorities. While we commend India's technological advancements and commitment to self-reliance, it is essential to acknowledge the frameworks that govern our cooperative agreements. The integrity of our partnership hinges on mutual respect and adherence to established protocols. Our concerns stem from the need to safeguard intellectual property and ensure that our collaborative efforts are both transparent and mutually beneficial. It is vital for both parties to uphold the agreements that underpin our longstanding relationship, as this is essential for fostering trust and cooperation. In the spirit of enhancing our bilateral ties and recognizing India's aspirations for domestic production capabilities, we are pleased to propose a constructive pathway forward. Russia is prepared to grant India a limited domestic production license for specific Russian equipment, with a total value of 2.5 billion USD. This initiative not only aligns with India's strategic goals but also demonstrates Russia’s commitment to deepening our partnership. India will be permitted to produce equipment it currently owns, made by Russia, for itself only. The following terms will apply. The Russian Government will not nor possess the rights to sell any shares of any Russian company. Russia is not held liable for how the equipment sold is used and all customers agree to indemnify Russia in the event of legal action or insurance claims. Russia sells all products with the intention that they are used only for deterrence, humanitarian, and defensive purposes and that they remain approved by international law and GA charters. Nations and partners who purchase from Russia cannot sell, trade/exchange, or donate/give away purchased equipment to third parties without express permission by Russia. India engaging in transactions with Russia cannot resell, trade/exchange, or donate/give away purchased equipment to third parties without express permission from Russia For the purposes of the terms and conditions the term resell shall include any actions that allow for a party which is not the India of the equipment to use the equipment. India is prohibited from upgrading purchased equipment or utilizing it for their own technological engineering without explicit permission from Russia Russia holds the right to deny any procurement if it poses a serious security threat to Russia's interests. Russia holds the right to withdraw maintenance licenses if sold products are used for actions against Russia and her allies or if the equipment is used in ways that go against GA charters. The transfer of funds by India, as stipulated in the agreed-upon payment terms, shall be deemed as an offer to enter into this agreement, thereby signifying India's acceptance of the terms and conditions outlined herein. Upon receipt of the transferred funds, Russia reserves the right to review the terms of the offer. The act of transferring money constitutes the initiation of the offer, and Russia retains the discretion to either accept or reject this offer based on a comprehensive assessment of the specified terms. The parties acknowledge that certain weapons platforms supplied under this agreement may necessitate additional commitments and provisions when utilized in training exercises or combat scenarios. India agrees to indemnify, defend, and hold harmless Russia, its affiliates, officers, directors, employees, agents, and representatives from and against any and all claims, demands, losses, liabilities, expenses, damages, and costs, including reasonable attorney's fees, arising out of or in connection with any breach of this agreement, negligent acts or omissions, or willful misconduct by India. In the event of a dispute arising from any transactions or the terms of services, such disputes shall be resolved in Russia under Russian Commercial Law. Both parties hereby consent to the exclusive jurisdiction of the competent courts in Russia for the resolution of any such disputes. The arbitration proceedings shall be conducted in accordance with the rules of the Russian Institution of Arbitration by one or more arbitrators appointed in accordance with said rules. The language of the arbitration shall be English, and the arbitral award shall be final and binding upon both parties. The prevailing party shall be entitled to recover its reasonable attorney's fees and costs incurred in connection with the arbitration. Russia is not held liable for how the equipment sold is used and all customers agree to indemnify Russia in the event of legal action or insurance claims. Russia sells all products and licenses with the intention that they are used only for deterrence, humanitarian, and defensive purposes and that they remain approved by international law and GA charters. Nations and partners who purchase from Russia cannot sell, trade/exchange, or donate/give away purchased equipment to third parties without express permission by Russia. India when producing Russian equipment cannot resell, trade/exchange, or donate/give away purchased equipment to third parties without express permission from Russia, For the purposes of the terms and conditions the term resell shall include any actions that allow for a party which is not the India of the equipment to use the equipment. India is prohibited from upgrading purchased equipment or utilizing it for their own technological engineering without explicit permission from Russia Russia has the right to withdraw maintenance licenses if sold products are used for actions against Russia and her allies or if equipment is used in ways that go against GA charters. The transfer of funds by India, as stipulated in the agreed-upon payment terms, shall be deemed as an offer to enter into this agreement, thereby signifying India's acceptance of the terms and conditions outlined herein. Upon receipt of the transferred funds, Russia reserves the right to review the terms of the offer. The act of transferring money constitutes the initiation of the offer, and Russia retains the discretion to either accept or reject this offer based on a comprehensive assessment of the specified terms. The sale price listed is subject to potential additional costs, which may be incurred based on specific tax requirements. Parties involved in the transaction acknowledge that the final price may be adjusted to accommodate any applicable taxes or duties mandated by relevant authorities. The exact amount of such additional costs will be determined in accordance with the specific tax regulations applicable to the transaction. This provision aims to inform the parties that the final cost may be influenced by tax considerations, ensuring transparency in the pricing arrangement. The parties acknowledge that certain weapons platforms supplied under this agreement may necessitate additional commitments and provisions when utilized in training exercises or combat scenarios. India agrees to indemnify, defend, and hold harmless Russia from and against any and all claims, demands, losses, liabilities, expenses, damages, and costs, including reasonable attorney's fees, arising out of or in connection with any breach of this agreement, negligent acts or omissions, or willful misconduct by India. In the event of a dispute arising from any transactions or the terms of services, such disputes shall be resolved in Russia under Russian Commercial Law. Both parties hereby consent to the exclusive jurisdiction of the competent courts in Russia for the resolution of any such disputes. The arbitration proceedings shall be conducted in accordance with the rules of the Russian Institution of Arbitration by one or more arbitrators appointed in accordance with said rules. The language of the arbitration shall be English, and the arbitral award shall be final and binding upon both parties. The prevailing party shall be entitled to recover its reasonable attorney's fees and costs incurred in connection with the arbitration. We believe that this arrangement will facilitate a robust framework for collaboration while addressing our concerns regarding intellectual property and compliance. Moreover, it opens avenues for knowledge transfer, technology sharing, and joint development initiatives, which can further strengthen our ties in the defense sector and beyond. We remain optimistic about the potential of our partnership and look forward to your response. Together, we can navigate these challenges and build a future characterized by trust, cooperation, and mutual respect. Thank you for your attention to this important matter. Best regards, Lucie Albrecht Minister of Foreign Affairs Russian Federation