TI-M wants independent investigations into bribery allegations implicating AirAsia

Transparency International Malaysia (TI-M) wants independent investigations to be carried out into revelations that AirAsia and AirAsia X executives were allegedly among those who received bribes from European aircraft manufacturer Airbus.

Noting that AirAsia has denied any wrongdoing in the case and allegations that its directors and/or employees were recipients of RM240 million in bribes, TI-M nonetheless called on the boards of AirAsia and AirAsia X to probe the matter.

"This news is disturbing because it is a homegrown brand and the government is doing its best for Malaysia to be known for her integrity and not corruption," said TI-M in a statement today.

Yesterday, MACC chief commissioner Latheefa Koya confirmed it had launched an investigation into the allegations and said it was in correspondence with authorities in the UK over the matter.

“Under the MACC Act 2009, we are empowered, and have jurisdiction, to investigate any act of corruption committed by any Malaysian citizen or permanent resident in any place outside of Malaysia.

“In the case of the Airbus-Airasia disclosures, I confirm that the MACC is in touch with the UK authorities and is already investigating the matter,” she said.

TI-M called on the boards of both Air Asia and Air Asia X as listed companies in Malaysia to conduct their own investigation and notify the public on what actually happened.

"TI-Malaysia also urges the Securities Commission to do an independent investigation as this matter is of public interest," it said.

"In the UK, Airbus will be subject to Section 7 of the UK Bribery Act 2010. The UK Bribery Act 2010 incorporates Section 7 entitled "Failure to Prevent Bribery."

"Here in Malaysia, we have a similar provision called the Corporate Liability Provision, which is the Section 17A in the MACC Act 2018. This provision will be effective as of June 2020," said TI-M.

TI-M said that this "disturbing news" involving two Malaysian companies explains why Section 17A is badly needed to ensure good governance in all commercial organisations in Malaysia and the companies and the directors must be accountable to put up adequate procedures to mitigate corruption risks. - Mkini