Defense Ministry says India puts $750 million Italian helicopter deal on hold, may cancel it
{{#rendered}} {{/rendered}}
India's Defense Ministry says it has put a $750 million contract to purchase helicopters from Italian company Finmeccanica on hold amid allegations that bribes were paid.
The ministry said in a statement Friday that a formal notice has been sent to Finmeccanica's AgustaWestland helicopter division seeking cancellation of the contract. The company has a week to respond to the Indian notice.
India signed the contract with AgustaWestland for the purchase of 12 helicopters in February 2010. Three of the helicopters were delivered in December.
{{#rendered}} {{/rendered}}
India has launched its own investigation into the 560 million euro ($750 million) deal after the Italian defense and aerospace giant's chief executive was arrested in Milan on Tuesday on charges he paid bribes to win the Indian contract.