The Central Bureau of Investigation is to inquire into charges of unethical dealings by Italian company Finmeccanica in the sale of 12 helicopters by its Anglo-Italian subsidiary AgustaWestland to the Ministry of Defence. The deal is valued at around Rs 3,500 crore.
The probe announcement came after the Italian media reported that Finmeccanica’s Chief Executive Officer had been arrested for corruption and embezzlement in relation to bribes allegedly given to the Indian government.
International agencies stated that Finmeccanica CEO Giuseppe Orsi, who had been under investigation for months, had denied any wrongdoing in the deal for the sale of 12 helicopters.
It is alleged that bribes were paid to win the contract, which was signed in February 2010.The helicopters are meant for the use of the President, the Prime Minister and other VVIPs.
No Clarifications
Agencies reported that the Italian magistrate had also ordered that the head of AgustaWestland, Bruno Spagnolini, be placed under house arrest.
In a statement, however, Finmeccanica confirmed “that the operating activities and ongoing projects of the Company will continue as usual” despite the precautionary measures taken today towards the Chairman and CEO of Finmeccanica and the CEO of the controlled company AgustaWestland.
The decision to hand over the case to the CBI was taken after the Ministry of Defence through the Ministry of External Affairs, sought information from the Governments of Italy and UK.
“No specific inputs were, however, received substantiating the allegations” the Government statement said.
A Defence Ministry statement adds that the probe has been widened to include the Indian contract that AgustaWestland (UK) signed.
The contract signed with AgustaWestland includes specific contractual provisions against bribery and the use of undue influence as well as an Integrity Pact, the Government statement adds.
Defence Minister A. K. Antony had earlier said that deliveries of the choppers are scheduled between January and July this year.
Explain to People: BJP
Unsatisfied over the Centre’s decision to hold a CBI probe into the VVIP helicopter deal, the Opposition Bharatiya Janata Party said the Government owes the people an explanation for delaying the decision to hold a probe.
Party spokesperson Prakash Javadekar said he had written to Antony two months ago that financial irregularities involved in the deal must be probed by the CBI.
“Action has been taken in Italy on the VVIP helicopter scam. The CEO of the company has been arrested. But no action has been taken here. The country that would have benefited from the deal has taken action while the country which lost money has not done anything,” Javadekar told reporters here on Tuesday.
The BJP plans to bring the matter before Parliament during the forthcoming Budget session.
Ashwini.phadnis@thehindu.co.in
Keywords: Giuseppe Orsi, Italian defence and aerospace giant Finmeccanica, Giuseppe Orsi arrested, AgustaWestland, Indian VVIP helicopter deal with AgustaWestland, CBI probe into VVIP helicopter deal
Comments:
Let the corrupt congress come down.
This government is good for nothing.
did any defence deal ever take place in India without hefty kickbacks?
No sensible Indian expect any tangible out come from the CBI
investigation. Culprits who took the bribe is naturally some one very
powerful at the very apex of Government decision making hierarchy. CBI
being appendage of the Home ministry will go through the mere motions
and arrive at no consequential conclusions as it happened in the case
of Bofors deal. It is the cursed fate of India to be ruled by shameless
robber barons!
It is indeed shocking matter that even though people /farmers die due to poverty commits suicide due to poverty, children die due to malnutrition, parents sale their child for petty cash, govt encourages, pampers corruption.
All big scams have taken place under the nose of govt, yet traced out by CAG ,CVC, LOKAYUKTA & not by intelligence agencies. Intelligence agencies /Govt could not yet recover any amount from nabbed on charges of scams. Billions of public money is lost
Govt still do not want to bring CBI under LOKPAL
Even the world announces that we are corrupt. But no one cares now as the govt. is pretty much used to this now and would take this in "business as usual" manner.
Again the Italian connection comes to light for its kick backs. The
congress and its tainted leader have stolen money from the people. When
it would stop. They are bringing their next generation to power and to
continue their stealing.
Corporate Governance!!!! What the hell is happening here in this
country? Why there are no checks and balances? These the typical
closely held private limited companies which are out of the purview of
many sections under the Company Law. Inspect them you will find
nothing, no records, no board meetings, where will the CBI dig for info
or do they have the expertise??. Some vague financial advisor who will
withhold all records or rather cook up records now in a hush. Above all
such scams occur in the capital city where there are some high profile
retd.. 60+'s well dressed living in high society and social circles,
master manipulators acting as conduits in such deals. Their job in
nothing but PR and sneak into the right places with their contacts to
bring through such deals. High time such people are cornered and
brought to book.
I salute the Italian regime for the action taken.
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