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Italian firm denies wrongdoing in helicopter deal
PostPosted: Tue 19:44, 06 Aug 2013
ertry03vc08

 
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Italian firm denies wrongdoing in helicopter deal with India,[link widoczny dla zalogowanych]
Shares in Finmeccanica slumped as much as 8.5 per cent to a sixday low. By 1327 GMT,[link widoczny dla zalogowanych], the stock was down 5.6 per cent at 3.92 euros,[link widoczny dla zalogowanych], featuring among the top losers.Defence Minister A. K. Antony has ordered a probe into the purchase of 12 helicopters from Finmeccanica unit AgustaWestland because of alleged irregularities,[link widoczny dla zalogowanych], two defence ministry sources said, declining to be identified.The sources said government officials could be involved in taking kickbacks for changing the terms and conditions of the deal in favour of the company."AgustaWestland is not involved in any irregularity concerning the supply of helicopters in India. No notice related to the investigations has been served,[link widoczny dla zalogowanych]," Finmeccanica said.The probe is a fresh challenge for chairman and chief executive Giuseppe Orsi who has been tasked with rebuilding the group's reputation after a corruption probe forced out former boss Pier Francesco Guarguaglini.The statecontrolled group is involved in a longrunning probe centering on accusations of false invoices and slush funds to pay bribes.Guarguaglini and his wife Marina Grossi,[link widoczny dla zalogowanych], who was chief executive of Finmeccanica subsidiary Selex Sistemi Integrati, are both under investigation as part of the probe. Both deny wrongdoing.Orsi was at the helm of AgustaWestland when the Indian helicopters contract was signed two years ago.Italian daily Il Messaggero said Italian magistrates investigating Finmeccanica's international operations allege that price increases in contracts may have allowed the group to set aside funds used to pay bribes.Separately, AgustaWestland said the helicopter contract had undergone no price increases and instead it was awarded after the company lowered the value of its initial bid.The contract refers to 12 AW101 helicopters and was awarded to AgustaWestland after a comprehensive evaluation, it said. Negotiations lasted 17 months to February 2010.
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