VVIP choppers case: Examining issue of blacklisting AgustaWestland, says Antony

AgustaWestland has denied any wrongdoing on its part in the case relating to alleged kickbacks in the deal.

New Delhi | Updated: January 20, 2014 4:15 pm
AgustaWestland has denied any wrongdoing on its part in the case relating to alleged kickbacks in the deal. AgustaWestland has denied any wrongdoing on its part in the case relating to alleged kickbacks in the deal.

After scrapping AgustaWestland’s Rs 3,600 crore deal for supplying VVIP choppers, the Defence Ministry today said it will take a decision on the issue of blacklisting the firm after consultations with the Law Ministry and CBI.

“We are examining the whole thing and we will take a decision after detailed examination and in consultation with the Law Ministry and CBI. I don’t want to take any hasty action that will cause problems to us….There is no understanding between the government and the company,” Defence Minister A K Antony said on the sidelines of an NCC function here.

He was replying to a question on reports that the Anglo-Italian firm and the government have reached an understanding and the former would not be blacklisted.

The Defence Minister said the government is focusing on encashing its bank guarantees in Italy and India. “In the Indian bank, we have encashed it. In the Italian bank, we are trying to get our money. There (in Italy) they have disputed but immediately we are trying to fight case and we are taking other actions to protect our interests,” he said.

The Defence Ministry cancelled its contract with AgustaWestland on January 1 after it found that there was alleged breach of the pre-contract integrity pact.

AgustaWestland has denied any wrongdoing on its part in the case relating to alleged kickbacks in the deal.
After scrapping the deal, India encashed a guarantee of over Rs 250 crore deposited by AgustaWestland in a bank in Delhi even as it is preparing to file an appeal against an Italian court’s stay on its move to encash another guarantee in an Italian bank.

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  1. H
    Hari Sud
    Jan 20, 2014 at 11:15 pm
    Incompetence and over reaction.The MOD has been incompletely run allowing the corrupt to make deals behind the scene. It is the procedures to be blamed. The corrupt in the Congress Party want their share hence devise process and procedures which allows thorough oversight at the RFP stage and then the oversight goes to when decision making begins.It is not the foreign companies who bribe. The finalists are subjected to a highest level of scrutiny in order to collect bribes. The AugustWestland deal is not free from that corruption angle. The "Fam" also collected its cut. Once that angle became clear the officials including the Air Marshall did not wished to be left behind.Unfortunately the Italian government became aware of it and arrested its President and produced the doents in the court.AugustWestland is owned by Finmechanica of Italy. It is the latter who were bribing everybody to get the deal. Hence AugustWestland can claim no wrong doing. How far that innocence charade will last, it ismupto them. Italian parent company is a s only set up as an umbrella organization to market read in between lines to bribe the clients.
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