AirAsia Group Bhd (AirAsia) chief executive officer Tan Sri Tony Fernandes and executive chairman Datuk Kamarudin Meranun have been cleared by the BDO Governance Advisory Sdn Bhd (BDO) from corruption allegations related to the Airbus scandal.
In February, both Fernandes and Kamruddin relinquished their executive positions for two months following allegation that the airline received a US$50 million bribe from aircraft manufacturer Airbus.
The allegations, based on the UK’s Serious Fraud Office (SFO) document, stated the airline manufacturer had also offered US$55 million more to sponsor a sports team linked to two unnamed executives from the airlines.
BDO, the independent expert appointed by AirAsia and AirAsia X board committee to undertake the independent review, has resolved to reinstate the executive positions of Fernandes and Kamarudin as group chief executive officer (CEO) and executive chairman of AirAsia respectively.
Consequently, the appointment of Tharumalingam a/l Kanagalingam as the acting chief executive officer has been rescinded.
In an exchange filing to Bursa Malaysia (Malaysia Stock Exchange) on 20 March, AirAsia said the sponsorship of the sports team by Airbus was disclosed to and supported by the Board of Directors of AirAsia Bhd (AAB) that was renamed AirAsia Group.
It added its sponsorship of the sports team by Airbus “was approved in compliance with its procedures”, and was disclosed to and supported by the Board of Directors of AAB at the relevant time.”
The sponsorship also showed demonstrable benefits to the AirAsia Group and was not linked to any purchase decisions by the group.
“The two executives (Fernandes and Kamarudin) had properly disclosed their interests to AirAsia’s board B and abstained from discussions and/or decisions relating to the said sponsorships.”
Both Fernandes and Kamarudin had categorically denied all allegations of wrongdoing or misconduct, and had offered their full cooperation in the investigation.
• Featured image – AirAsia Group’s chief executive officer Tony Fernandes (left) and executive chairman Datuk Kamarudin Meranun – credit: AirAsia