A leaked audio tape between Malaysia-based AirAsia Group CEO Tony Fernandes and former CEO of AirAsia India Mittu Chandliya is now creating tremors in business as well as political circles. Audio tape recorded as Chandliya is giving a presentation to his boss Tony Fernandes in the presence of lobbyist Rajender Dubey. This business talk of top management, as per audio, is peppered with a lot of loose talk and abuses.
The discussion revolves around the aviation regulations, international flying permits, the Narendra Modi government and competition with SpiceJet. In the audio, Fernandes instructed Chandilya to try “dirty ways” to get all permissions. AirAsia was desparate for international permits from India government. Tony Fernandes heard saying, “This is going to take a long time if we have done it the clean way. I say we do it the dirty way, but I want to get international routes faster”
Also, in the tape, former CEO Chadilya talks about his closeness to the then aviation minister Ashok Gajapathi Raju. Chandilya tells Fernandes that N. Chandrababu Naidu was potentially the prime minister candidate, but he is now the chief minister of Andhra Pradesh.
He says, “His finance minister is now the civil aviation minister. If you play nice with Chandrababu Naidu, we will get everything. The civil aviation minister told me. They want to build Vizag into aviation centre. They are willing to give zero tax on ATF [aviation turbine fuel] as long as we put a hub there. The minister told me that he doesn’t want to be seen physically with me that much, but you tell me what you want. This guy is like Narendra Modi. It’s good to have him on our side,” Chandilya tells Fernandes.
Last week, Air Asia chief was booked by the CBI for allegedly bribing government officials to amend the rule that mandated airlines to have five years of experience and a minimum of 20 aircraft to fly on international routes. The CBI has said that the payments of about Rs 12.28 crore were remitted to India to lobby with civil servants during the UPA rule. CBI already summoned Malaysia-based Fernandes and the director of HNR Trading Dubey. CBI already raided multiple offices of AirAsia and filed a series of cases against public servants of the civil aviation ministry too.
All this episode creating tremors in business, political circles and civil servants. If probed deeply, this may be a big blow for Air Asia. We will have to wait and see for the developments.