India Moves to Scrap AW101 Contract Over
Bribery Probe
AIN DEFENSE PERSPECTIVE » FEBRUARY 15, 2013
An order for AW101 helicopters is now the subject of corruption investigations in both India and Italy.
February 15, 2013, 12:30 PM
The Indian government has begun the process to cancel its contract with AgustaWestland (AW) for 12 AW101 VIP transport helicopters. On Friday, the country’s defense ministry gave AWseven days to respond to its its formal “show cause notice” seeking contract cancellation. The move follows the February 13 arrest in Italy of Giuseppi Orsi, chairman and chief executive of its parent group Finmeccanica (and former AWchief executive). Late on February 13, the Finmeccanica board appointed the group’sCOO and CFO Alessandro Pansa to serve as chief executive and has named senior board member Admiral Guido Venturoni as vice chairman. On Friday afternoon Finmeccanica announced that Orsi has resigned as chairman and as a board member. As of press time, no announcement had been made about the future of AgustaWestlandCEO Bruno Spagnolini, who was placed under house arrest on February 13.
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