The Supreme Court on Tuesday said “there can’t be any compromise with the defence of the nation” as it asked the CBI to produce any fresh evidence it may have collected against the firm, Defsys Solutions Private Ltd, that was suspended from doing business with the government over its alleged involvement in the AgustaWestland case.A bench of Chief Justice of India Surya Kant and Justice Joymalya Bagchi, however, also expressed doubts on continuing the suspension of the company when the “principal offender” Agusta Westland had already been granted reprieve.The bench was hearing the Centre’s appeal challenging the August 28, 2025 order of the Delhi High Court that set aside the suspension orders.Appearing for the Centre, Additional Solicitor General K M Nataraj said the matter involves defence supply issues and the scope for interference by the courts in such matters “will be very minimal”.“Business with us is suspended temporarily pending investigation by the CBI which is going on,” he said, adding the suspension was on the basis of a CBI report.He added that the HC had erroneously relied on previous orders quashing earlier suspensions.Justice Bagchi said “they (AgustaWestland) are the principal accused with regard to that defence purchase. You have withdrawn the suspension from Agusta. The insinuation against this firm (Defsys) is that they were used as a conduit for laundering. If the principal offender is given a reprieve, why should the (proceedings against the latter continue).”Story continues below this adThe CJI said “we will assume that CBI has material against the respondent. But that will be equally incriminating against the respondent as well as Agusta” as well.“What’s sauce for the geese is sauce for the gander. If Agusta can get a reprieve, how can…,” asked Justice Bagchi.The ASG said, “Agusta is altogether a different matter… a different transaction. As far as this company (is concerned), we have already issued letter rogatory…It’s on a different footing altogether.”The CJI referred to paragraph 45 of the HC judgment and said, “You have found some material which causes a very strong suspicion in the mind of the investigating agency that this company has been indulging in kickbacks and paying bribe. Bribe for what? And the bribe is transferred by the AgustaWestland Company.”Story continues below this adThe ASG said “not only Agusta. There are many other companies involved in the transaction. Therefore we issued letter rogatory to various foreign countries seeking information”.The CJI said, “You ask CBI to conclude the investigation and if some material comes, you can issue a fresh show-cause notice. As of now, there is only suspicion; suspicion of siphoning off… delivering the bribe money which allegedly AgustaWestland supplied to them. They were a conduit of Agusta.”Justice Bagchi said, “Mr ASG, don’t make out a case which is not there in the letter…Why should we allow you to improve on your case. Your case before the HC was Agusta is the principal offender, chargesheeted, and money from Agusta moves through Defsys. Now Agusta being given a reprieve, how can you proceed against Defsys?”CJI Kant said if the suspicion on the basis of which the show-cause notice “is upgraded and improved to the level of collecting reliable material, we are not saying conclusive material, that will be sufficient enough for you to issue and notice based on that material and pass an order.”Story continues below this adNataraj said that every time the Ministry issued a suspension order, the HC intervened.The CJI said “what you can still do is you say in show-cause notice that as per latest inputs, if after that if CBI has since been able to lay hands on some material to justify an action like suspension, go ahead…The material that you have gathered from June to December, June… whatever… was only suspicion. If you have been able to lay your hands on anything, please show us.”Senior Advocate N K Kaul appearing for Defsys said the company has not been named in any chargesheet. “There is no material on record against us”.The CJI said, “The point is you are an Indian entity. And you are local. If you have been found involved in parking the bribe money for delivering (at) different places…, then it’s a serious issue. There can’t be any compromise with the defence of the nation.”Kaul said there is no such allegation.Story continues below this adThe CJI said “exactly, that’s what we are saying, June… was only suspicion. If they have been able to find some material, let us see”.Kaul said the CBI keeps saying there is “new material” but courts never found any. “It’s an Atmanirbhar (Bharat) programme. My only dealing is with the government. You brought my entire business to a standstill over the last 4 years. I do not produce for anyone else other than the government. Neither I am an accused, nor am I named, nor is there an iota of allegation on record to show that I am in any way involved.”The court noted that the latest suspension order dated June 24, 2025, was based on “suspicion” and the investigation is still continuing. It gave the ASG three weeks’ time “to produce an additional affidavit, with the outcome of the investigation under the CBI from June 2025 till the status report is filed”.