NEW DELHI — India’s parliament plans to investigate allegations of bribery in the purchase of AgustaWestland AW101 helicopters, on top of the ongoing defense ministry-initiated probe into the deal. News of the probe comes as the U.K.-based subsidiary of Finmeccanica is demanding New Delhi furnish solid proof that it bribed officials to win the 12-aircraft, $750 million deal originally signed in 2010. India has suspended all payments and threatened to cancel the purchase altogether if the charges of bribery to middlemen both in India and abroad are proven.
Etihad Airways, which currently is in talks to purchase a stake in Jet Airways, has acquired the Indian carrier’s three pairs of slots at London Heathrow Airport. Under the deal, which is valued at $70 million, Jet will lease the slots from Etihad and continue to operate services to London.
Struggling Kingfisher Airlines’ hopes of making a phased restart were dashed further after India’s government decided to withdraw the carrier’s international route authority and domestic slots and allot them to other Indian carriers. “These traffic rights have been withdrawn with immediate effect on account of non-utilization by the airline,” says an official at India’s Civil Aviation Ministry.