According to the report, the benchmarked cost of Rs 4871.5 crore for AgustaWestland VVIP helicopters was unreasonably high compared to the offered cost of Rs 3966 crore.

"The benchmarked cost adopted by the contract negotiating committee was unreasonably high compared to the offer cost," the CAG report said.

“Defence Ministry deviated from procurement procedure and tender on several instances in the deal,” the CAG report said.

The report was finalized during the tenure of former CAG Vinod Rai. The report was submitted to the government on April 25.

India and Italy are both investigating the 2010 deal to supply AW101 helicopters, which has been mired in accusations that AgustaWestland paid bribes to win the contract from the Defence Ministry.

(JPN/Agencies)

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