THE consortium which won a €500 million lease for new search-and-rescue helicopters for the Irish Coast Guard says the contract will not be affected by recent developments in Britain.
The British ministry of defence has initiated a military police investigation into a bidding procedure there which resulted in a contract award to the Soteria consortium involving CHC Helicopters.
Last July CHC was awarded a 10-year contract worth €500 million by former minister for transport Noel Dempsey to provide new Sikorsky S-92 helicopters for the Irish Coast Guard.
The contract procedure was criticised at the time by former Air Corps personnel who said the Defence Forces should have been given an opportunity to tender. The Air Corps was withdrawn from search-and-rescue by former minister for defence Michael Smith in early 2004.
The investigation in Britain centres on a £6 billion privatisation of the search-and-rescue service, which has been suspended while inquiries take place.
A rival bidder for a British air/sea rescue helicopter contract had alleged in 2008 that military officers handling the privatisation had taken jobs with CHC.
At the time, the British ministry of defence said it was satisfied that the movement of its staff was not a problem, and it pursued arrangements for the tender.
Last December, British transport secretary Philip Hammond said he had halted talks, hours before the deal was to be approved, after the Soteria consortium informed the British defence ministery of a “possible issue”.
The Department of Transport said last night that the contract with CHC had been concluded and signed, and the first instalment had been paid “as per its terms”. The first of the new S-92 helicopters is due to arrive in Shannon this December.
