PM on AirAsia's graft probe: Offset is not bribery

Prime Minister Dr Mahathir Mohamad today offered his view on AirAsia, which was implicated in an RM240 million bribery allegation involving Airbus.

At a press conference in Putrajaya, Mahathir said that having an offset in the aircraft procurement is not bribery as long as the money does not go into personal pockets.

He even said it has been the government's "practice" to ask for an offset in its procurement deals.

"I have heard of accusations that AirAsia is involved in corruption, I don't dare to make a decision on that.

"But it is common when the government procures any equipment, we often request for an offset," he said.

"For instance, when we buy an aircraft we ask for offset. It is up to you to decide whether the offset is a (form of) bribery.

"For me, we don't want to buy something expensive, we cannot accept this.

"If the money we obtain does not go into our own pockets but instead is meant for a certain purpose, then it becomes an offset and this is not bribery. That's my view," he told the media after speaking at the Majlis Amanat & Aspirasi, which was attended by over 1,000 education officers.

UK newspaper The Telegraph reported that Airbus had paid US$50 million (RM205 million) and offered another US$55 million to sponsor a sports team linked to two “key decision-makers” at AirAsia and AirAsia X.

The alleged bribery took place between 2011 and 2015.

The MACC is probing AirAsia and AirAsia X executives for allegedly receiving bribes from Airbus. 

AirAsia had denied the allegations, saying it was neither involved in any way whatsoever with the UK Serious Fraud Office’s (SFO) investigation of European aircraft maker Airbus nor was given an opportunity to provide any information or clarification to the SFO.

On Feb 3, it was reported that AirAsia Group (AAGB) executive chairperson Kamarudin Meranun and chief executive officer Tony Fernandes will relinquish their executive positions within the group, following the bribery probe. 

The Securities Commission Malaysia (SC) had said that it will examine the statement of facts in the case of Regina vs Airbus SE which disclosed several allegations against both companies. - Mkini