Agusta: ED files second charge sheet; names middleman Michel

File photo of AW101 helicopter

New Delhi, June 15

The Enforcement Directorate has submitted another charge sheet accusing British national Christian Michel James, a suspected middleman of the deal — and his few Indian associates in connection with its money laundering investigations in the Rs 3,600 crore VVIP chopper deal.The over 1,300 page prosecution complaint (the ED’s equivalent of charge sheet) has been placed before a special Prevention of Money Laundering Act (PMLA) court early this week and it has said that agency’s investigation into the case has found that Michel received Euro 30 million (about Rs 225 crore) from AgustaWestland, which it claims were “kickbacks” paid by the firm to execute the 12 helicopter deal in favour of the firm in the “guise of” of genuine transactions for performing multiple work contracts in the country.(Follow The Tribune on Facebook and Twitter @thetribunechd)The court is expected to take cognisance of the supplementary charge sheet soon, agency sources said.Michel is one of the three middlemen being probed in the case, apart from Guido Haschke and Carlo Gerosa, by the Enforcement Directorate and the Central Bureau of Investigations. Both agencies asked the Interpol for a red notice after court issued a non-bailable warrant against him.A red notice, also known as ‘Wanted notices’, are issued for offenders wanted at international level. The notice may either ask that the subject be arrested or extradited to the country where he is wanted. Michel was extensively interviewed by Indian media in Dubai recently.This is the second charge sheet filed in the case by ED that goes into the detailed role of Michel in the deal, his multiple visits to India and his transactions. The first charge sheet was filed by the agency in the case in November 2014.It is understood that filing a charge sheet against Michel was necessary as ED has sought his extradition from the UK and hence such a court complaint against an accused is necessary in order to execute the treaty between the two countries.The agency has also brought on record, in the charge sheet, that the three middlemen “managed to” make inroads into the Indian Air Force in order to influence and subvert the stand of the air force regarding reducing the service ceiling of the helicopters from 6,000-meters to 4,500 meters in 2005 after which AgustaWestland became eligible to supply the dozen helicopters for VVIP flying duties.ED investigations have found that remittances made by Michel through his Dubai-based firm Ms Global Services, FZE to a media firm he floated in Delhi, along with two Indians, were made from the funds that he got from AgustaWestland SpA through “criminal activity” and corruption being done in the chopper deal that led to the subsequent generation of proceeds of crime.The PMLA probe found that AgustaWestland CEO Bruno Spagnolini was paying “kickbacks” to Michel and the two other middlemen, which they are suspected to have passed off numerous “consultancy contracts”. Michel is suspected of having received Euro 30 million in his Dubai company accounts and others under this arrangement.Investiations into the deal have gathered steam after an Italian court Italian defence and aerospace major Finmeccanica’s former chief Giuseppe Orsi and Spagnolini on corruption charges in the sale of these helicopters to India.The Milan court order also mentions former IAF chief SP Tyagi several times.On January 1, 2014, India cancelled a contract with Finmeccanica’s British subsidiary AgustaWestland for supplying 12 AW-101 VVIP choppers to the IAF over suspected breach of contractual obligations and charges of paying kickbacks to the tune of Rs 423 crore for the deal. — PTI