Datasel calls for restoration of ammunition contracts with Estonia
Italian defense product supplier Datasel has called on the Estonian Centre for Defence Investments (RKIK) to restore the contracts or conclude another structured agreement for their implementation. The company claims that the goods were manufactured, inspected and delivered or prepared for pickup, while claims regarding quality and contract termination remain disputed. This was reported by ERR News.
Datasel stated that no court or arbitration tribunal has yet issued a ruling on the dispute. According to the company, its contracts with RKIK exceeded €150 million, while advance payments received amounted to about €59 million. At the same time, the company estimated the value of delivered and invoiced goods at approximately €58 million.
The supplier's position
Datasel says it exchanged requests, technical information and contract terms with RKIK over several months. The company also stated that it disclosed information about the production chain, manufacturing sources, countries of origin and the location of the products. According to its version, RKIK representatives visited production sites before the order was placed and conducted additional inspections during the performance of the contracts.
The company denied claims that there were no deliveries. It stated that RKIK representatives inspected individual batches and authorized their shipment, while some of the goods were collected or could have been collected. Datasel also referred to statements by former Defense Minister Hanno Pevkur about materials worth tens of millions of euros being held in a warehouse in Europe, which were physically inspected by ministry auditors and internal control staff.
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Dispute over quality and financing
Datasel stated that specific complaints about product quality that are now being made public were formally raised only several weeks after RKIK notified it of the contract terminations. The company insists that it is ready to fulfill its warranty obligations: to examine properly documented complaints and, if necessary, repair or replace the products in accordance with the contract terms.
According to Datasel, RKIK also acknowledged that one reason for terminating the contracts was the expiration of external funding. The supplier said it was ready to present the remaining goods for inspection, involve manufacturing partners and fulfill its obligations within the timeframes agreed by the parties.
It was previously reported that Estonia had planned to purchase shells for Ukraine and paid a total of €70 million in advance to Indian businessmen who own the company. RKIK terminated the contract and stated that Datasel had delivered only an incomplete batch of low-quality components.
