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Riding fear, bullet-proof cars rake in big bucks

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  • As safe as it can get
    Not so long ago, it was only some government vehicles that were bullet-proof. But that’s not the case anymore. As crime rates soared through the last four years, the country’s underplayed industry of bullet-proofing cars got a new list of clientele — liquor barons, builders, real estate developers, industrialists, film stars, PSU heads, even MNC executives and of course, politicians.

    And the humble ‘government’ Ambassadors, which formed a bulk of the market for this industry, gave way to more expensive models like Mitsubishi Pajeros, Scorpios, Monteros and Landcruisers. Besides domestic customers, the industry is also bagging deals from other countries.

    Take the Sobtis in Jalandhar whose Laggar Industries conducts business with countries in “nine parts of the world”. For an industry that does not believe in overt advertising, armouring contracts for hundreds of vehicles from the likes of the Bhutan Royal Army and the Yemen government means quite something.

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    “We started the armouring of vehicles in 1989 for security agencies when Punjab was mired in militancy. In the last four years, there has been a 40 per cent increase in demand from the private sector. From bullet-proofing about 10-12 private cars in a year earlier, we now do that number in a month alone. Many more requests actually come in,” says the director of Laggar Industries which has a turnover of about Rs 125 crore per annum.

    From the Punjab Chief Minister’s bus, the Laggar group has reached out far and wide. The firm has bullet-proofed 400 Toyota Hiluxs for the Royal Bhutan Army, Nissans for the Nepal government, Landcruisers for the Yemen government and vehicles for Sri Lanka, Taiwan, Kuwait,

    Myanmar, Saudi Arabia and so on. Recently, they even bullet-proofed coaches for the North-Eastern Railway.

    While the industry functions under a strict code of confidentiality, the firms admit that only those with deep pockets can afford bullet-proofing of vehicles.

    “It costs anywhere between Rs 5 lakh to Rs 85 lakh to armour a car, depending on the type of vehicle. An Ambassdor will be bullet-proofed, or just given bullet-proof window panes as is done for most of the government sector, for Rs 5 lakh, but an armoured Scorpio could cost Rs 8 lakh and a Montero over Rs 18 lakh,” adds Laggar’s director, who didn’t want to be named.

    Back home, the biggest private business comes from Uttar Pradesh — its rich sugar and liquor industries as well as its politicians. Delhi and the NCR run a close second, followed by Mumbai and Hyderabad. In the government sector, Jammu and Kashmir has the highest demand, followed by Punjab, Northeastern states and Naxalite-hit Andhra Pradesh.

    But the dealings with the rich and powerful brings its share of trouble too. In 2006, the Chandigarh Crime Branch put the Sobti group in the dock for bullet-proofing politician Mukhtar Abbas Ansari’s vehicle. Another order from Bihar brought trouble from the STF.

    The Sobtis, who claim to have armoured about 4,000 private sector vehicles so far, now ensure that every customer’s request is vetted by the Jallandhar division of the Intelligence Bureau. “While we may armour a car after verifying their documents, complete with vehicle chassis number etc, how do we stop another person from using them?” asks the director.

    Shreyas Parikh, who heads Mumbai-based Parikh Armoring Company, is equally cautious. “I am very careful. In 1999, we started this whole process wherein a customer has to get a No Objection Certificate (NOC) from the area authorities before we armour his car. This is absolutely necessary as the laws are silent on the issue of bullet-proof vehicles,” he says.

    “Besides Mumbai, where the underworld threats keep people nervous about their safety, Gurgaon, Noida and border states also bring in demand,” adds Parikh. The firm counts celebrities, doctor and lawyers among its customers.

    Noida-based Anjani Technoplast has a foolproof thumb rule — it does business only with the paramilitary and police forces. “Yes, there is a big demand from the private sector for bullet-proofing high-end cars, but as a rule we service only the government sector which is also witnessing a boom. Terrorism and Naxalite attacks have really pushed up the demand over the last three years. Security agencies in states like Orissa and Madhya Pradesh are also asking for armoured vehicles now. The demand has shot up with election season around the corner,” says Bhuwanish Kunwar, assistant general manager, Anjani Technoplast.

    The armoring process itself is no mean task. It involves ripping up a vehicle, down to the undercarriage, and rebuilding it after armouring it with steel plates. Bullet-proofing a vehicle can take two-three months.

    In Delhi, Rohtash Singh Yadav, who retired as assistant technical officer in the Cabinet Secretariat in 1995, now runs Secure Mobile, which supplies a whole gamut of bullet-proofed articles from vehicles to helmets, patkas and podiums. While the paramilitary and DRDO are among his prime customers, the Vishwa Hindu Parishad, Raymonds, Reliance Industries, Bristol Boats, Botswana Defence Group, Riyadh-based Al-Araba group and Nepal’s Royal Armed Police also share space on his long client list.

    The cover cost

    Ambassadors: Rs 5.3 lakh

    Mahindra Scorpio: Rs 8 lakh

    Tata Safari: Rs 9 lakh

    Ford Endeavour: Rs10.5 lakh

    Mitsubishi Pajero: Rs 12 lakh

    Mitsubishi Montero: Rs 18 lakh

    Toyota Landcruiser Prado: Rs 20 lakh

    Toyota Landcruiser/ Lexus Cruiser: Rs 25 lakh

    Nissan Patrol: Rs 20 lakh

    Mahindra Bolero: Rs 7.5 lakh

    Maruti Gypsy: Rs 5 lakh

    Mercedes E Class / BMW 5 series/ Audi A6: Rs 25 lakh

    Mercedes S class / BMW 7 series: Rs 40-50 lakh

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