Meet us on June 6, India police order Tony Fernandes

Meet us on June 6, India police order Tony Fernandes

India’s cops want to question the AirAsia CEO over allegations of corruption and working to break rules to obtain a flying licence.

Free Malaysia Today
Tony Fernandes. (AFP pic)
NEW DELHI:
India’s Central Bureau of Investigation (CBI) has summoned AirAsia Group Bhd CEO Tony Fernandes to appear before it on June 6 over allegations of corruption.

The Times of India, quoting sources, reported that a “notice for appearance” had been sent to Fernandes via email.

The CBI wants to question Fernandes over the Foreign Investment Promotion Board (FIPB) approval taken by the company for investing in India and his alleged efforts to get the ‘5/20’ rule of civil aviation policy changed so that AirAsia could start international operations.

The report said he had been accused of pressuring former AirAsia India CEO Mittu Chandilya to pursue changes in regulatory policies for international aviation in India suitable to the company.

On Tuesday, the CBI said it had filed a case against the airline, some of its employees and third parties for allegedly violating India’s foreign direct investment rules while obtaining the licence, and of bribing government officials in an attempt to get regulations relaxed to allow AirAsia India to fly international routes.

According to the Times of India report, the CBI was likely to issue a summons to Malaysia-based deputy group CEO of AirAsia Bo Lingam and AirAsia India director Venkatramanan Ramchandran.

It said FIPB and civil aviation ministry officials who handled the AirAsia file in 2013-14, would also be called to CBI headquarters for questioning.

The agency has alleged that AirAsia used lobbyists, such as Deepak Talwar, to get the ‘5/20’ rule removed or amended.

Under the ‘5/20’ scheme, a domestic airline is allowed to fly overseas only after completing five years of domestic operations with a fleet of at least 20 aircraft.

“Tony Fernandes wanted the airline to be able to fly internationally and its local Indian partner — Tata Sons through their nominee R Venkatramanan — would lobby to get all government approvals including the then FIPB clearance and amendment/removal of ‘5/20’ rule of Indian international civil aviation,” the report quoted the CBI as saying.

AirAsia India had earlier issued a statement saying these allegations had already been investigated by the Director General of Civil Aviation who found that the operations and management of AirAsia India were in accordance with the Foreign Exchange Management Act.

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