Defence Minister AK Antony ordered a CBI probe into the VVIP chopper deal on Tuesday Feb 12,2013 after the arrest of the CEO of Italian defence firm Finmeccanica on charges of bribery in connection with the sale of choppers to India.
The Defense Ministry said it had sought information from governments of Italy and UK but "no specific inputs" were received substantiating the allegations.
"Since no specific input has been received from the two governments, the Ministry of Defence has decided to refer the case to CBI for inquiry," Defence Ministry spokesman said
In February 2010, India had inked the deal to acquire the 12 three-engine AW-101 helicopters from AgustaWestland for IAF's elite Communication Squadron, which ferries around the President, PM and other VVIPs
Although the first of the Finmeccanica choppers has recently arrived in India, the delivery of remaining 9 of 12 AgustaWestland choppers will now be put on hold.
The Italian media reported that Giuseppe Orsi, the CEO of Finmeccanica, has been arrested by the Italian authorities for corruption and embezzlement in connection with a 4,000-crore helicopter deal with the Indian government.
Giuseppe Orsi, the head of Italian defence and aerospace giant Finmeccanica, was arrested on Monday in relation to a probe into international corruption. He is suspected of involvement in the payment of bribes regarding the sale to the Indian government of 12 helicopters produced by Finmeccanica's subsidiary AgustaWestland," Italian news agency Ansa said.
Prosecutors suspect that around 50 million euros (Rs 362 crore approximately), about 10 per cent of the deal were ploughed back into kickbacks to ensure AgustaWestland won the contract.
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