The CBI is not probing the troubled multi-billion contract for the acquisition of Russian aircraft carrier Gorshkov and the agency has closed its investigation into the HDW submarine deal, Parliament was informed on Monday.

"CBI has not investigated into the defence deal concerning the procurement of aircraft carrier Ex-Admiral Gorshkov," Defence Minister AK Antony told the Rajya Sabha in a written reply.

The minister's remarks assume significance as the deal is deadlocked with India still considering the Russian demand for a considerable price hike for the carrier, whose delivery has been delayed by over four years.

Antony said that CBI had conducted investigations into the HDW submarine contract under which India had procured four submarines from the German firm.

He said the agency closure report was accepted by the special judge of the Patiala house court on March 4, 2005.

The minister assured the House that the government was taking all steps to ensure highest degree of probity and transparency in defence deals.

Towards this end, he said all foreign armament firms were made to sign an 'integrity pact', with the government for all contracts above Rs 100 crore.

The minister said as a policy the government was dealing directly with all original equipment manufacturers or authorised vendors or government sponsored export agencies.

"Major decisions in the acquisition process are being taken in a collegiate manner and more transparency has been introduced in field trials of equipment," Antony said.

He also said sellers could face penalities if they engaged any individual or firm whether Indian or foreign to canvas with government functionaries for the award of any contract.