Cornische Aviation and Maintenance Ltd succeed in protest of US Army Mi-17 helicopters acquisition

Cornische Aviation and Maintenance Limited - a Sharjah-based supplier of aviation parts and equipment (specialising in the support of aircraft manufactured in the CIS) - have announced that they won their protest against the US Army for improperly including sustainment in the contract for 21 Russian Mi-17 helicopters.
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In June 2011 the US Army issued a $367m sole source award to the Russian arms company Rosoboronexport for the purchase of 21 Mi-17 aircraft, initial spares and engineering support for Afghanistan.

With no public announcement, the Army also included an option for an additional $550m in aircraft and long term support. Cornische protested to the US General Accounting [now Government Accountability—Ed.] Office that the Army's inclusion of multi-year sustainment support was in violation of US Federal Acquisition Regulations.

Cornische spokesman Jeff Rashim said: "Rosoboronexport is buying the aircraft for $7.5m and selling them to the US for $16.4m.

"The Army agreed to give the Russians an option for $100m in spares  and depot level test equipment with margins exceeding 100%.

"It is impossible to understand why the US Army is not concerned that they are overpaying hundreds of millions for this Russian equipment. The US Government should demand an audit."

The US General Accounting Office ruled on Thursday, August 11th that the US Army must take corrective action and remove the long-term spares and depot level test equipment from the Rosoboronexport contract. Corrective action is to occur in the next 60 days.

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