KUALA LUMPUR: AirAsia (India) Ltd (AAIL), AirAsia Bhd’s joint-venture with the Tata group, has filed a police report following a probe into irregular personal expense claims and certain company charges.
In a filing with Bursa Malaysia on Wednesday, AirAsia Bhd said that as a result of investigations by AAIL, which were conducted by an external agency, AAIL had been recommended to lodge the police report on the findings of the probe.
“AAIL has consequently filed a police complaint before the competent authorities in Bengaluru, Karnataka, India on Nov 9, 2016. The police is investigating the matter,” the budget airline said.
AirAsia Bhd holds a 49% stake in AAIL, while the Tata group holds 49% and two AAIL directors own the remaining 2%.
On Oct 31 last year, AirAsia informed the exchange that there was an ongoing investigation against certain former AAIL personnel involving irregular personal expense claims and some company charges.
“AirAsia (India) Ltd, AirAsia Bhd and Tata Sons Ltd look into all allegations of impropriety and misappropriation very seriously,” the low-cost carrier said in that announcement.
“The three entities do not approve of any unethical practices and will take very stern action against the perpetrators at all levels of the organisation. The three entities would like to reiterate that it strictly adheres to internal procedures and policies.”
Earlier, Tata Sons’ ousted chairman Cyrus Mistry had written a letter to the board saying that “ethical concerns” had been raised regarding certain transactions and the overall prevailing culture at AAIL.
Mistry claimed that a forensic investigation had revealed fraudulent transactions of 22 crore rupees involving non-existent entities in India and Singapore.
In a filing with Bursa Malaysia on Wednesday, AirAsia Bhd said that as a result of investigations by AAIL, which were conducted by an external agency, AAIL had been recommended to lodge the police report on the findings of the probe.
“AAIL has consequently filed a police complaint before the competent authorities in Bengaluru, Karnataka, India on Nov 9, 2016. The police is investigating the matter,” the budget airline said.
AirAsia Bhd holds a 49% stake in AAIL, while the Tata group holds 49% and two AAIL directors own the remaining 2%.
On Oct 31 last year, AirAsia informed the exchange that there was an ongoing investigation against certain former AAIL personnel involving irregular personal expense claims and some company charges.
“AirAsia (India) Ltd, AirAsia Bhd and Tata Sons Ltd look into all allegations of impropriety and misappropriation very seriously,” the low-cost carrier said in that announcement.
“The three entities do not approve of any unethical practices and will take very stern action against the perpetrators at all levels of the organisation. The three entities would like to reiterate that it strictly adheres to internal procedures and policies.”
Earlier, Tata Sons’ ousted chairman Cyrus Mistry had written a letter to the board saying that “ethical concerns” had been raised regarding certain transactions and the overall prevailing culture at AAIL.
Mistry claimed that a forensic investigation had revealed fraudulent transactions of 22 crore rupees involving non-existent entities in India and Singapore.
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