NEW DELHI – India's main investigating agency says it has arrested a former air force chief for allegedly influencing a $750 million deal with AgustaWestland for the purchase of 12 luxury helicopters to ferry Indian VIPs.
Central Bureau of Investigation spokeswoman Kanchan Prasad says the agency has enough evidence to prosecute retired Air Marshal S.P. Tyagi. She says he was arrested in New Delhi on Friday.
India canceled the contract with Italian-owned Finmeccanica's helicopter arm AgustaWestland in January 2014 amid allegations that the company paid kickbacks to Indian officials and politicians.
India received three of the helicopters and stopped delivery of the remaining nine.
India's Defense Ministry says the agreement was terminated because an integrity pact was breached by AgustaWestland.