India says will act against Finmeccanica if bribe charges proved

NEW DELHI Tue Feb 12, 2013 3:30pm IST

The headquarters of Italian defence and aerospace company Finmeccanica is seen in Rome May 3, 2012. REUTERS/Max Rossi/Files

The headquarters of Italian defence and aerospace company Finmeccanica is seen in Rome May 3, 2012.

Credit: Reuters/Max Rossi/Files

Related Topics

Stocks

   

NEW DELHI (Reuters) - India will take "suitable action" against Finmeccanica (SIFI.MI) if graft allegations are proven true, a defence ministry official said, after the company's head was arrested in Italy in an investigation of the sale of helicopters to India.

Italian police arrested Finmeccanica's chief executive Giuseppe Orsi on Tuesday for alleged bribes paid to secure the sale of 12 AgustaWestland executive helicopters to the Indian Air Force, when he was head of the Finmeccanica helicopter unit.

"We will go to the root of the problem. If charges of bribery are proved, suitable action will be taken," said the official, who declined to be named because of the sensitivity of the matter.

The source added that under Indian defence procurement rules, companies involved in corruption can be punished with blacklisting and fines. (Reporting by Manoj Kumar and Nigam Prusty; Writing by Arup Roychoudhury)

FILED UNDER:

Politics

REUTERS SHOWCASE

Exit Polls

Exit Polls

BJP unlikely to form Jammu & Kashmir govt - polls.  Full Article 

Forceful Conversions

Forceful Conversions

BJP distances itself from religious conversions.  Full Article 

Photo

Fund Raising

Flipkart raises $700 million in fresh funding.   Full Article 

Reforms Push

Reforms Push

Modi may order insurance, coal reforms if vote delayed - officials.  Full Article 

Economic Pulse

Economic Pulse

Crank up public spending to revive growth - chief economic adviser.  Full Article 

Reuters Exclusive

Reuters Exclusive

India looks to sway Americans with nuclear power insurance plan  Full Article 

Down Under

Down Under

Magic Johnson inspires Australia to second test win.  Full Article 

Going International

Going International

Bollywood’s Priyanka Chopra sets sights on American TV.  Full Article 

India This Week

India This Week

Some of our best photos from this week.   Full Coverage 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device   Full Coverage