Thursday 28 Mar 2024
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KUALA LUMPUR (Feb 8): In a series of email correspondence between an AirAsia Group Bhd executive and a senior Airbus SE employee, one thing that stood out in the relationship between the two major corporations in the aviation industry is this: that the customer is always right.

However, the UK's Serious Fraud Office (SFO) does not think so. Following investigations by the office, Airbus agreed to settle for a penalty of US$4 billion to stop the probe into inappropriate conduct by its employees in securing major contracts from airlines from being escalated.

Nonetheless, the damage is done to Airbus and a string of its customers around the world, including AirAsia.

The SFO had on Jan 31 published a statement of facts in regards to its investigation into the graft case on its website, and in doing so reveals how the AirAsia executive secured sponsorships into his private venture by authorising or sometimes, withholding, aircraft purchases for the airline group from the aircraft manufacturer.

How deep does this relationship go? Where does the money go? And were the independent directors of AirAsia during the times the payments were made, aware of the deals that its top executive had secured for his private venture?

In this week's cover story "AirAsia, Airbus and A Failed F1 Venture" The Edge examines the relationship between Airbus and AirAsia, its co-founder Tan Sri Tony Fernandes' persona as a charismatic and larger-than-life leader, as well as the market's perception of the case.

Get the full story in this week’s issue of The Edge.

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