Tuesday, July 30, 2013

Tony Fernandes hits turbulence with AirAsia deal in India

Kuala Lumpur: Budget carrier AirAsia Bhd's bid to launch an airline in India in October has hit some turbulence, with a petition filed by the Indian Janata Party leader Subramanian Swamy seeking to withdraw clearance given by the Indian Foreign Investment Promotion Board (FIPB) for the venture.
Indian national business portal livemint reported late last Friday that Subramanian had on Thursday filed a petition in the Supreme Court to the effect.
The news comes more than a month after AirAsia Bhd announced it was pulling out of a venture with Japan's All Nippon Airways due to irreconcilable differences.
Subramanian, in his 60-page public interest litigation (PIL), termed the clearance as illegal and said several issues related to foreign control and policy were overlooked when clearance was granted.
AirAsia Bhd owns a 49% stake in AirAsia India Pvt Ltd, while India's Tata Sons Ltd holds 30% and Arun Bhatia's Telestra Tradeplace Pvt Ltd the rest.
30/07/13 Malaysia Chronicle