Malaysia regulator denies pressuring AirAsia to cancel flights

Malaysia's aviation regulator Tuesday denied having ordered AirAsia to cancel extra flights meant to help voters return home for a recent general election and filed a police complaint against the carrier's chief executive, Tony Fernandes. Shares in AirAsia closed down 2.6% after losing more than 5% on Monday as investors fretted over the company's relationship with a new government following the shock defeat of prime minister Najib Razak's ruling coalition. The dispute with the Malaysian Aviation Commission (Mavcom) was triggered by Fernandes' apology on Sunday for endorsing Najib, whose Barisan Nasional coalition, which had governed since Malaysia's independence in 1957, was booted out of power for the first time. Fernandes said he had come under "intense" pressure in the lead-up to last Wednesday's election for adding the extra flights. The government's challengers had criticized the mid-week polling date as a bid to dampen voter turnout and make it harder for Malaysians living abroad to return home to vote. On Tuesday, the regulator said it "categorically refutes the accusation that it told AirAsia to cancel all 120 additional flights applied for by AirAsia during the 14th Malaysian General Election period". "The commission has never issued any directive to AirAsia or any other airline to reduce or cancel any flights where regulatory requirements are met," it added. Mavcom "views Fernandes' claims as serious accusations and has lodged a police report," it added. <br/>