The government says it will seek a report from the CBI on AgustaWestland chopper deal and initiate the move to blacklist AgustaWestland and its parent company Finmeccanica.
Government sources claimed the UPA government had not blacklisted AgustaWestland despite allegations of bribery. The sources said it was only when the NDA came to power in 2014 all acquisition proposals with the firm were put on hold.
CBI had in 2013 registered a case in connection with alleged bribes paid by the firm to Indians to clinch the deal for 12 helicopters to ferry VVIPs including the President and Prime Minister.
Congress had yesterday claimed AgustaWestland was blacklisted under UPA rule but removed from the blacklist by the present government.
The government sources said, the only punitive action taken by the Congress was in January 2014, just before the Lok Sabha elections, when the UPA government encashed the bank guarantee. They never blacklisted the company as claimed by them.
Defence Minister Manohar Parrikar had earlier in the day challenged the Congress to show the order by the UPA government confirming the blacklisting.