26 November 2013

News Story: India's AW101 Contract Faces Cancellation


By VIVEK RAGHUVANSHI

NEW DELHI — Cancellation of India’s contract to buy 12 VVIP helicopters from AgustaWestland appears imminent, despite the fact that the helicopter-maker has until Nov. 26 to plead its case with the Indian Defence Ministry, according to MoD sources.

However, while India wants to send a strong message against corruption, going so far as to blacklist AgustaWestland is not the preferred option among bureaucrats in New Delhi, an MoD source said.

AgustaWestland is accused of using corrupt practices to win the contract in 2010. The Indian government halted the contract to buy 12 AW101 helicopters this year after Giuseppe Orsi, who was CEO of AgustaWestland at the time of the contract before becoming CEO of parent company Finmeccanica, was arrested in Italy and charged with paying bribes to secure the Indian deal.

Read the full story at DefenseNews