AirAsia bosses step down amid Airbus bribery scandal
AirAsia has announced that both its CEO and chairman will step down from their roles temporarily amidst claims they accepted a bribe from Airbus in return for an aircraft order.
The UK’s Serious Fraud Office (SFO) is alleging Airbus bribed two AirAsia executives – understood to be Tony Fernandes (pictured above, left) and Kamarudin Meranun (pictured above, right) – to the tune of US$50 million ($74.3 million) to sponsor a sports team jointly owned by both men.
It’s claimed the payment was in exchange for AirAsia placing an order of 180 aircraft with Airbus, with the order later adjusted to 135 jets.
Both Malaysian and Sri Lankan authorities are reportedly investigating the damning allegations.
The allegations surfaced after Airbus agreed to a deferred prosecution agreement with regulators in the UK, France and the US, and has agreed to pay a fine of €3.6 billion ($5.9 billion).
AirAsia said Fernandes and Meranun will relinquish their roles as CEO and chairman respectively for a period of two months “or such other period that the company may deem fit”.
The airline said in a separate statement it was “neither involved in any way whatsoever with the SFO’s investigation of Airbus nor given any opportunity to provide any information or clarification to the SFO”.
AirAsia also hit back at claims its Airbus aircraft order was improperly linked to the sponsorship of a sports team jointly owned by executives at the airline.
“AirAsia vigorously rejects and denies any and all allegations of wrongdoing,” it said.
“The entering into of each aircraft purchase agreement was never made by any single individual decision, but instead arrived at through careful evaluation, deliberation and the collective decision of the board members after taking into account technical specifications, aircraft flight performance and operating economics.
“The superiority and reliability of the aircraft and increasingly attractive pricing being offered to maintain our competitive edge in the airline business were key considerations.
“As a customer of Airbus since 2005, AirAsia never made purchase decisions that were premised on an Airbus sponsorship.”
AirAsia said all negotiations and dealings leading to the signing of any aircraft purchase agreement have been undertaken directly with Airbus “on an arm’s length basis” and without the involvement of any third parties or intermediaries.
“AirAsia executives negotiated rigorously in the interests of the company and had at all times acted in good faith,” the airline stated.
“In any event, AirAsia is aware that correspondence between the company and Airbus dating back more than a decade has been reported in the press without proper context or review, and we are concerned that views and opinions on the matter may have been formed unfairly and prematurely.
“Furthermore, the involvement of Airbus in the sponsorship of the sports team was a well-known and widely-publicised matter bringing branding and other benefits to Airbus.
“AirAsia’s own sponsorship of the sports team went through due internal assessment and approvals before being considered and approved by the board.”
AirAsia said it was “deeply concerned” that the allegations will have an adverse and negative impact on its brand, reputation and goodwill.
“AirAsia is monitoring developments in this matter and will review any allegations or negative inferences concerning or affecting AirAsia and/or any of its executives, and will fully cooperate with the Malaysian Anti-Corruption Commission and the relevant authorities where required,” it said.
Email the Travel Weekly team at traveldesk@travelweekly.com.au
airasia airbus bribery Kamarudin Meranun Serious Fraud Office tony fernandesLatest News
Scoot’s first E190-E2 flights take off between Krabi and Hat Yai
Scoot has begun operating its first Embraer E190-E2 aircraft with a launch event at Singapore Changi Airport with guests offered first look at the new aircraft. Guest of Honour Mr Chee Hong Tat, Minister for Transport and Second Minister for Finance were in attendance as well as several aviation partners and media. The new E190-E2 […]
Premium hotel operator ERDI launches it’s own academy in heart of Melbourne
ERDI, a private collection of premium hotels and hospitality businesses, has announced the launch of ERDI Academy, the next chapter of hospitality education and the legacy of founders Eva and Les Erdi. Starting in the mid-1980s, ERDI offers hospitality education with a commitment to community enrichment from its base at its Mercure Welcome Melbourne on […]
Tropical North Queensland action-packed events calendar for adventure enthusiasts
Sporting enthusiasts and adventure seekers are gearing up for an action-packed year in Tropical North Queensland, with a lineup of sports events and adrenaline-pumping experiences set to take centre stage in 2024. Leading the charge is the highly-anticipated return of the Crankworx World Tour ‘Paradise Edition’ to Cairns from 22-26 May 2024. The mountain biking […]
Singapore Airlines Group first to receive SAF from Neste as AU/NZ play catchup
Singapore Airlines (SIA) Group has signed an agreement with Neste to purchase 1,000 tonnes of neat Neste MY Sustainable Aviation Fuel TM. The purchase makes SIA and Scoot the first carriers to receive Sustainable Aviation Fuel (SAF) produced at Neste’s refinery in the country, at Singapore Changi Airport. The milestone will also mark the first […]
Qantas Red Tail sale discounts more than 200,000 fares
Qantas has launched its latest International Red Tail sale, discounting more than 200,000 fares to Los Angeles, New York, Honolulu and other US destinations, plus Vancouver. The discounted seats are available to book either as a cash fare or as a reward seat using points. Thirty routes are on sale, including 10 for under $1,199 […]
Bannisters by the Sea unveils retreat style package for new mothers
Boutique hotel Bannisters by the Sea has revealed a brand-new package for new mothers – Bannisters Mummymoon – right in time for Mother’s Day. Designed to nurture and rejuvenate new mothers, this luxurious escape prioritises postpartum self-care and wellbeing in a serene coastal setting. Reconnecting and Recharging: The two-night Mummymoon allows mums to reconnect with […]
Nothing Bonza can do to prevent loss of planes, ACCC concerned by latest aviation developments
There is nothing Bonza can do hold onto its aircraft, a court has heard today, with the embattled low-cost carrier standing staff down for ‘at least another week’. The hearing today was told the five Boeing 737 MAX 8 aircraft Bonza uses to fly are not in the possession of the airlines after AIP Capital […]
APT offers destination incentives to enjoy the Best of Asia
APT Luxury Travel launches has launched its Asia Sale featuring 20 trips, with journeys through Vietnam and Cambodia as highlights, as well as opportunities to explore Japan, South Korea, India and Sri Lanka. It’s ‘Spiritual Cambodia and the Mekong’ land and river cruise tour for example takes guests on an all-inclusive 11-day journey through Vietnam […]
Disney Days returns with Inside Out 2 showing in Sydney, Brisbane, Melbourne and Auckland
Time is running out for agents to register their Expression of Interest to an exclusive screening of the much-anticipated Disney and Pixar film, Inside Out 2, hosted by Disney Destinations Australia/New Zealand team and partner United Airlines. Places are limited and applications must be in by 17 May. In addition to the screening of the […]
Get ready to roll the marketing dice with Susan Coghill: Travel DAZE EXEC 2024
It's heating up in Cairns and we're not talking about the weather! Get ready for a marketing masterclass with Susan.
Aranui Cruises slashes prices with No Single Supplement and Half Price offers
French Polynesian cargo cruise line Aranui Cruises is slashing thousands off its 2025 Austral and Marquesas Islands cruises with an autumn sale offering 50 per cent off the second guest in a twin share room and no single supplement for solo travellers. On sale until June 21, 2024, Aranui’s 12-day roundtrip voyage from Papeete to […]
Cebu Pacific campaign aims to boost Aussie trips to the Philippines
Cebu Pacific's bouncy singalong ad campaign 'Fly to Happy, Fly to the Philippines’ aims to get more bums on seats.
Tauck’s new river and small ship ocean cruises, plus increased Seine capacity
Tauck adding itineraries like it's going out of fashion, which cruising certainly isn't.
Railbookers and La Dolce Vita Orient Express partner up for new luxury Italian itineraries
Fancy a luxurious trip through Italy? Who are we kidding, we know you do. Start your daydream here.
Luxury Travel Collection’s Nikki Glading spills all on member network perks: Travel Weekly TV
We urge you to enjoy this in true LTC style and lift a glass of bubbles with lunch today.
Auckland’s new domestic terminal comes with all the modern gadgets
We're not talking about drones or VR goggles, but these updates will change the game in Auckland.
Air New Zealand crew sign up for Sign Language Week
Have you signed up for Sign Language Week? Let this be your sign to do so!
Holland America Line gives one lucky winner the Ultimate Alaskan Cruise Experience
There's only one winner, so it's sort of like the Hunger Games of cruise prizes... but no one gets hurt.
TAG’s Byron Carr excited about K-Pop induced Asia expansion
Carr to go all Gangnam Style with TAG's Asian expansion
CATO celebrates 25 years with anniversary dinner
CATO's putting on a fancy spread to celebrate 25 years as other 25 year olds celebrate their HECS debt being cut.
Fiji Tourism Exchange 2024 opens with a vibrant ceremony at Sofitel Fiji Resort, Denarau
Two days in Fiji! If you didn't attend this conference we're sure you've got FOMO.
Raes on Wategos celebrates 30th birthday and guests get the presents
World famous luxury boutique hotel Raes on Wategos, in Byron Bay, has launched its 30th birthday celebrations with a Raes Indulgent Escape package. Available for all stays of two nights or more, from June to August, the curated package offers an invitation to indulge in a shared celebration of Raes 30th birthday, whilst revelling in […]
Seabourn’s two new value-add offers for 2024-25
Seabourn's doing a two for one deal. Kind of like a fast-food promo but its luxury cruising.
PONANT commercial team expands to meet growing demand in APAC
Can't remember that Ponant contact you met at a networking event? Good chance they're included in this update.
Gen Z and millennials on track for rise in Europe rail trips, says TruTravels
Despite what you think, Gen Z and Millennials are not 'off the rails', but instead want a fast track to Europe.
$230m joint Novotel & ibis Styles Melbourne Airport hotel prepares to open
Dear all business travellers, you're Melbourne experience just got a whole lot better.
Envoyage premieres Worldwide 2024 in Santiago
There has been a warm reception for 300 attendees at Envoyage's gabfest in Santiago, Chile.
Disney Destinations launches epic Aussie agent incentive
Everyone needs a bit of Disney in their life (apparently) and agents can get their next dose for free here.
IPW 2024: 960,000 Aussies took the trek to the Land of the Free last year
Nearly 6,000 travel industry reps descend on LA. Thankfully for all of their bosses, it's not in Vegas.
Nauru Airlines offers new direct flights from Brisbane to Palau on ‘Paradise Express’
No more island hopping to Palau as Nauru Airlines hits this boundary six.
Etihad Airways boosts connectivity with five interline partnerships
Etihad high fives itself with interline partnerships announcing a handful of new airlines, including Rex.
Discover the enchantment of India – A tale of timeless cities
Whether you're game enough to test out the street food or not, we recon India should be top of your list.
Qantas cops $100m penalty with passengers to get $20m back over cancelled flights
Qantas cops a $100m civil penalty, passengers to get back $20m over cancelled flights to resolve ACCC court battle.
Body found off Sydney Heads suspected to be missing cruiser
Tragic developments onboard Pacific Adventure this morning.
Wendy Wu Tours ‘Wonderlust Sale’ offers the wonders of the world for less
More for less... Great news for all apart from Wendy's wallet.
Booking.com launches AI Trip Planner in Australia and New Zealand
Booking.com launches new AI feature in Aus. We're hoping AI never gets the nuance involved with writing these jokes.