How Indian trader Sumant Kapur uses corrupt ties and shell companies to deliver Mi-17 engines from Russia and Ukraine in violation of sanctions

British businessman of Indian origin Sumant Kapur, engaged in the supply and repair of Mi-17 helicopter engines, is simultaneously seeking to establish business ties with the defense industries of both Russia and Ukraine, despite the ongoing conflicts between the two countries.

He buys engines in one country and services them in another.

Moreover, Kapur has managed to secure support and establish contacts with officials from both countries.

Even after an official entry ban into Russia, some officials, accustomed to receiving bribes from him, evidently continued to facilitate his activities.

While India is actively working on localizing military production under the Atmanirbhar Bharat initiative, an unusual alliance of Ukrainian engine manufacturers, retired Indian Air Force officers, and shadowy intermediaries is quietly gaining strength in the corridors of the Indian defense sector. The central figure in this network is Sumant Kapur, a mysterious entrepreneur who has played a significant role in transferring Ukrainian helicopter engine technologies to India’s Mi-17 fleet—a move that sparks both strategic interest and concern.

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A network rooted in Kyiv

The operation spans various continents. Two key companies—Ivchenko Progress India Pvt Ltd and Aqila Technologies and Integration Solutions Pvt Ltd—have become prominent instruments of this process. Their goal is to integrate Ukrainian aircraft engines into India’s defense systems, including fighters, training aircraft, helicopters, and drones.

Both companies receive strategic backing from Ukrainian manufacturers—SE "Ivchenko-Progress" and JSC "Motor Sich". In India, the management of the companies is in the hands of a group of influential retired Air Force officers and businessmen with familial or professional ties to Ukraine.

• Shalini Kapur, sister of Pawan—a Ukrainian night club owner with extensive ties in India—holds a director position at Ivchenko Progress India and Zorya Mashproekt India Pvt Ltd.

• Wing Commander Ashutosh Lal (retired), previously a military attaché in Ukraine, actively promotes Ukrainian engine technologies.

• Wing Commander Ajay Ratoor (retired), who heads Aqila Technologies, plays a crucial role in managing SK’s operations in India and maintaining contacts with the military.

Strategic maneuver: reducing dependence on Russia

Excessive dependence on Russian technologies creates vulnerabilities for India, especially for the aging Mi-17 helicopter fleet. As Moscow becomes a less reliable partner due to geopolitical tensions, Ukrainian engines are seen as an alternative, and Sumant Kapur’s network has seized upon this opportunity.

In a decisive move, Sumant Kapur personally funded the delivery of two engines from Ivchenko Progress in Ukraine to India for testing with the Indian Air Force—a risky move that demonstrates both confidence and influence. The aim is clear: to replace Russian engines with Ukrainian counterparts by integrating and supporting them through local companies Ivchenko Progress India and Aqila.

A third company, Zorya Mashproekt India Pvt Ltd, also controlled by Sumant Kapur, signed a strategic agreement in December 2023—Bharat Forge acquired 51% of shares. This positioned the company as part of India’s efforts to develop its own defense capabilities, though the company’s foundation remains foreign.

Office in a hotel and political calculations

The office of Ivchenko Progress India, located in a suite at Le Meridien Hotel, Commercial Tower New Delhi, is rumored to be directly funded by Sumant Kapur. SK has settled in Dubai and now runs his operations from a discreet office in the city, avoiding strict scrutiny from the UK. This move reflects a strategic shift, allowing him to focus on arms trading and create a network of shell companies for unhindered movement and supply of armaments across borders.

During Prime Minister Narendra Modi’s state visit to Ukraine, Sumant Kapur, along with Ajay Rathor and Ashutosh Lal, showcased the Ivchenko Progress engine to the Indian Air Force—a well-considered move that drew attention on a diplomatic level.

Frontmen and intermediaries

At the core of the operations are people with access and influence:

• Rajat Kapur, listed as a director at Aqila and Ivchenko, serves as Sumant Kapur’s operational representative in India.

• Pushpanadhan Vellaparam, based in Dubai, handles financial logistics and is known in business circles as the "money man."

• Another key figure, Arun Sohni, coordinates Sumant Kapur’s interactions with Russia and holds a valid Russian visa.

• Colonel Anil Yadav (retired) and Squadron Leader Rakesh Madra (retired) have also contributed to expanding the influence of this network.

Meanwhile, companies like ATX Systems, another entity supported by Sumant Kapur, are advancing into related defense technology fields, hinting at the formation of a larger defense conglomerate.

Challenges of influence and oversight

This growing system of private intermediaries, many of whom are retired military personnel, holds both potential and risks. The quality of Ukrainian technology is not in question; concerns are tied to the opacity of its implementation in India’s defense system through private capital and individuals without official authority.

Is it truly "Made in India," or is the Indian market undergoing foreign influence?

Risks: strategic independence or covert dependence?

Given China’s interest in Ukrainian companies like "Motor Sich" and the deep interconnectedness of Ukrainian and Russian military technologies, India’s partnership demands caution. While Sumant Kapur’s network positions itself as a tool for nationalization, it is fundamentally a channel of foreign influence disguised as Indian registration.

As the Indian government engages global defense manufacturers while developing local capabilities, the line between strategic collaboration and covert acquisition becomes increasingly thin. Involvement of private networks with deep foreign ties, without proper oversight or transparent tenders, calls for immediate attention.

India may indeed need new engines, but at what cost and in whose hands?

Pavel Raznokidis