AirAsia again refutes India corruption allegations

The AirAsia Group has again refuted any wrongdoing in its dealings with the Indian government over its AirAsia India unit, following allegations of corruption filed in a first information report with the Indian police. AirAsia said it had conducted an internal review and found that there had been no wrongdoing by group CE Tony Fernandes and deputy group CE Bo Lingam - the two parties at the centre of the allegations. The statement follows widespread media coverage concerning the alleged police report, based on information from an unnamed "reliable source". "The Board of Directors of AirAsia Group refutes strongly all the allegations made in the FIR as baseless, unsupported and unjustified and will vigorously challenge these allegations." Among the allegations in the report includes claims that AirAsia India was "indirectly controlled and operated" by Malaysia AirAsia via a brand licensing agreement, violating India's Foreign Investment Promotion Board norms which requires substantial ownership and effective control by Indian nationals. AirAsia has since refuted this, backed by a report from the Indian Director General of Civil Aviation that the terms and conditions "did not dilute substantial ownership and effective control" by Indian nationals.<br/>