In a written reply, Defence Minister A K Antony said the government was yet to take a final decision on the fate of the deal.
"While the operation of the contract for procurement of 12 VVIP/VIP helicopters has been put on hold, no decision has been taken so far to cancel the contract," he said in reply to a question asked by BJP MP Rajiv Pratap Rudy.
The company had allegedly paid kickbacks of over Rs 300 crore and CBI registered a case on March 12 to probe the charge, which is denied by the firm.