Take the pledge to vote

For a better tommorow#AajSawaroApnaKal
  • I agree to receive emails from News18

  • I promise to vote in this year's elections no matter what the odds are.
  • Please check above checkbox.

    SUBMIT

Thank you for
taking the pledge

Vote responsibly as each vote counts
and makes a diffrence

Disclaimer:

Issued in public interest by HDFC Life. HDFC Life Insurance Company Limited (Formerly HDFC Standard Life Insurance Company Limited) (“HDFC Life”). CIN: L65110MH2000PLC128245, IRDAI Reg. No. 101 . The name/letters "HDFC" in the name/logo of the company belongs to Housing Development Finance Corporation Limited ("HDFC Limited") and is used by HDFC Life under an agreement entered into with HDFC Limited. ARN EU/04/19/13618
LIVE TV DownloadNews18 App
»
1-min read

AirAsia Shares Hit as India Probes Fernandes

The Central Bureau of Investigation said Tuesday it was probing allegations that Fernandes illicitly lobbied Indian officials for favourable treatment for his Malaysian-based carrier.

AFP

Updated:May 30, 2018, 12:00 PM IST
facebookTwitterskypewhatsapp
AirAsia Shares Hit as India Probes Fernandes
File photo of AirAsia Group CEO Tony Fernandes.
Loading...

Kuala Lumpur, Malaysia: Shares of budget carrier AirAsia fell to a six-month low Wednesday after Indian authorities raided the airline's local offices and accused its boss Tony Fernandes of illegally obtaining operating licences.

The Central Bureau of Investigation said Tuesday it was probing allegations that Fernandes illicitly lobbied Indian officials for favourable treatment for his Malaysian-based carrier.

Officers raided AirAsia offices in major Indian cities as part of its investigation. AirAsia has denied any wrongdoing.

The carrier's shares fell as much as 6.3 percent to 3.10 ringgit (78 cents) in Kuala Lumpur, their lowest level since late November, before edging back up.

The investigation is a blow in a market that AirAsia had singled out as a major destination to expand.

Corrine Png, CEO of Asian transport equity consultancy Crucial Perspective, told AFP investors might be concerned as "investigations are likely to impede" plans by AirAsia India to expand out of the domestic market next year.

"International flights will be more lucrative for AirAsia India than domestic operations where competition is stiff."

But she also noted that the impact on AirAsia as a whole was likely to be minor as the India branch was only a small part of the company.

Fernandes was accused by investigators of campaigning to have aviation regulations relaxed in his favour, the Press Trust of India news agency reported.

One of these was the so-called 5/20 rule stipulating that companies must have five years of domestic experience and a fleet of 20 aircraft before being eligible to operate abroad.

Besides Fernandes, investigators also named an AirAsia director, an aviation consultant and unidentified Indian government officials in its preliminary case, PTI reported.

AirAsia and its local joint venture partner Tata Sons launched domestic flight operations in India in 2014 by offering eye-catching promotional fares to lure budget travellers.

Fernandes, a millionaire ex-music executive, has styled himself as Asia's answer to British tycoon Richard Branson.

The company ran into trouble this month when Air Asia India's CEO Amar Abrol stepped down, citing personal reasons.

Read full article
Loading...
Next Story
Next Story

Also Watch

facebookTwitterskypewhatsapp
Most Active
Company Price Change %Gain
Indiabulls Hsg 641.95 0.47
Infosys 780.00 0.08
HDFC Bank 2,396.05 0.05
Yes Bank 94.60 1.50
RBL Bank 590.00 -2.66
Company Price Change %Gain
ICICI Bank 429.20 1.61
Indiabulls Hsg 641.90 0.56
Yes Bank 94.65 1.56
Reliance 1,282.00 0.48
SpiceJet 128.80 2.02
Top Gainers
Company Price Change %Gain
Tata Motors 167.15 3.85
BPCL 354.00 1.90
NTPC 130.05 1.64
ICICI Bank 429.00 1.59
IOC 146.50 0.76
Company Price Change %Gain
Tata Motors 167.15 3.85
NTPC 130.10 1.72
ICICI Bank 429.20 1.61
Yes Bank 94.65 1.56
ONGC 152.85 1.39
Top Losers
Company Price Change %Gain
TCS 2,107.05 -1.80
UPL 638.15 -1.43
M&M 625.75 -0.97
Kotak Mahindra 1,497.05 -0.73
Wipro 257.75 -0.83
Company Price Change %Gain
TCS 2,106.75 -1.79
M&M 625.10 -1.04
HCL Tech 1,020.25 -0.69
Kotak Mahindra 1,496.15 -0.77
Hero Motocorp 2,542.70 -0.13

Live TV

Loading...
Countdown To Elections Results
To Assembly Elections 2018 Results