Air Asia money laundering: Delhi High Court directs ED to file status report
[ by Kavita Krishnan ]The Delhi High Court has directed the Enforcement Directorate (ED) to file a status report in connection with its probe in the alleged money laundering case against AirAsia in relation to the irregularities in foreign investment norms.It was alleged that Air Asia lobbied with government servants for clearances, removal of existing 5/20 aviation rule and change in...
The Delhi High Court has directed the Enforcement Directorate (ED) to file a status report in connection with its probe in the alleged money laundering case against AirAsia in relation to the irregularities in foreign investment norms.
It was alleged that Air Asia lobbied with government servants for clearances, removal of existing 5/20 aviation rule and change in regulatory policies. Under the 5/20 rule, a company needs a minimum of five years of flying experience and is also required to have 20 aircraft in its possession in order to become eligible for the license.
Also, the Air Asia officials allegedly tried to manipulate government policies through corrupt means to get international license for its Indian venture called AirAsia India Limited.
Last week, the ED watchdog had summoned senior officials of AirAsia including Chief Executive Officer (CEO) Tony Fernandes in connection with the case under the Prevention of Money Laundering Act (PMLA).
A Division Bench comprising of Chief Justice DN Patel and Justice C Hari Shankar asked the ED to file a status report in a sealed cover and listed the matter for further hearing on May 14.
The plea was filed by BJP leader Subramanian Swamy challenging the Foreign Investment Promotion Board (FIPB) clearance granted by the Centre to AirAsia (India) Pvt Ltd.