During the probe here, CBI said it did not find any evidence on the allegations levelled during the sting operation carried out by Tehelka.
It was alleged that Fernandes' associate Jaya Jaitley and others had received a bribe of Rs two crore in the Rs 1,150 crore Barak missiles deal in 2000.
CBI had been pursuing the case from various angles but every investigation hit a hurdle as Israel did not cooperate despite several Letters Rogatory and requests made through diplomatic channels for providing details about certain companies, the sources said.
The sources said a decision was taken to close the case as there was no way that any headway could be made in the probe.
The CBI had filed an FIR in a designated court on October 10, 2006 alleging that a sum of Rs two crore was paid to Jaitley, who acted as an “agent” to clinch the deal to buy seven Barak anti-missile defence (AMD) systems from the Isaraeli firm. Jaya Jaitley was then president of Fernandes' Samata Party.
Jain, who was then treasurer of the Samata Party and was also named in the FIR, received a bribe of several lakhs, the CBI alleged.
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