THIRUVANANTHAPURAM: Kerala government inking deals with nettlesome neighbors China may put the K-FON deal into a quandary. The Indian government has hitherto not banned the import of Chinese goods, however, it is mentioned clearly to not purchase any goods from China for government schemes. Violating the rules can invite legal actions and financial restrictions including many others.

According to the emerging new accusation, the state government has exploited the tender norms for K-FON by not purchasing Indian-made technical equipment but leaning on Chinese equipment for use. The CIG report has also confirmed the use of China-made cables in the K-FON scheme. The vital optical unit used for the Indian-made Optical Ground Wire Cable(OPGW) is from China. 70% of the money in the OPGW cable was used for purchasing the optical units from 'TGG China', a company based in Shanghai.