AirAsia executives summoned for questioning in India corruption case

India’s Enforcement Directorate has summoned AirAsia’s top brass for questioning over allegations of money laundering and bribery.

The ED filed a case under the Prevention of Money Laundering Act against the airline and various executives back in 2018.

Those summoned include group CEO Tony Fernandes and group president Bo Lingam.

Officials at AirAsia India were accused of trying to illegally circumvent the ‘5/20’ Rule which allows airlines to fly overseas.

At the time an India based airline could only apply for international routes after operating for five years and had a minimum of 20 aircraft.

The airline didn’t meet these rules at the time.

It was accused of putting pressure on and then bribing aviation officials to remove the rules.

Multiple AirAsia offices were raided in 2018.

AirAsia director R Venkataramanan lobbied officials to ditch the 5/20 Rule.

Fernandes also allegedly used catering services executive Sunil Kapur as a lobbyist and rewarded him with a services contract for AirAsia.

According to the ED investigation report, Bo Lingam and Kapur handed over a package filled with cash to an aviation department official as an incentive to accelerate the removal of the 5/20 Rule.

The airline has made no comment on the summons or if executives will comply with it.