The Defence Ministry, which had given the firm time till today to reply to the show cause asking why the contract should not be cancelled in view of the bribery charges faced by it, will take a decision on the future of the Rs 3,600- crore deal in the next few days, Ministry officials said.
They said they will go through the response given by the Italian firm along with the evidence brought by the one-member Ministry team from Italy and take a decision on the future of the deal in the next few days.
In its response, the firm has told the Defence Ministry that "its conduct has been fully compliant with the rules which regulate the AW101 helicopters contract signed with India".
AgustaWestland has said the Rs 3,600 crore contract "was awarded to it following a comprehensive technical and flight evaluation of competing types performed by the IAF in accordance with the Defence Procurement Procedure (DPP)."
The step was taken by India after the arrest of Italian firm Finmeccanica's CEO Giuseppe Orsi and AgustaWestland CEO Bruno Spagnolini by Italian investigators looking into the bribery charges.
The Italian firm has also provided information to Indian authorities including a joint team of CBI and a Defence Ministry official, who had gone to Italy to get evidence about the scam.