This story is from June 05, 2018
CBI questions Total Food Services Chairman Sunil Kapur in AirAsia probe
NEW DELHI: The Central Bureau of Investigation (CBI) on Tuesday questioned Sunil Kapur, Chairman of Total Food Services, Mumbai, who was given a catering contract of AirAsia by Deputy Group CEO of the company Tharumalingam Kanalingam alias Bo Lingam, as “quid pro quo” for lobbying for the company.
Sources said that Kapur was asked questions about his connections with Lingam, whom did he meet in the ministry of civil aviation to lobby for AirAsia and about his catering contract with the company.
The central anti-corruption agency has already issued summons to Tony Fernandes, AirAsia Group CEO, asking him to appear before it on June 6.
The Foreign Investment Promotion Board (FIPB) and civil aviation ministry officials who handled the AirAsia filed in 2013-14 will be soon called at CBI headquarters to know about more about the irregularities.
It has been alleged AirAsia used lobbyists such as Talwar to get the ‘5/20’ rule for operating international flights removed or amended before the 2014 general elections. Under the ‘5/20’ scheme, a domestic airline was allowed to fly overseas only after completing five years of domestic operations with a fleet of at least 20 aircraft.
“Tony Fernandes wanted the airline to be able to fly internationally from day one and their local Indian partner — Tata Sons Ltd through their nominee R Venkatramanan — would lobby to get all government approvals including the then FIPB clearance and amendment/removal of 5/20 rule of Indian international civil aviation,” the CBI has said in its FIR.
In a statement, Tata Sons’ legal head and AirAsia India director Shuva Mandal has denied any wrongdoing by the carrier and said the company was cooperating with all regulators and agencies. Mandal added that in November 2016, the carrier had initiated criminal charges against its former CEO Mittu Chandilya and had also commenced civil proceedings in Bengaluru for irregularities.
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The central anti-corruption agency has already issued summons to Tony Fernandes, AirAsia Group CEO, asking him to appear before it on June 6.
The Foreign Investment Promotion Board (FIPB) and civil aviation ministry officials who handled the AirAsia filed in 2013-14 will be soon called at CBI headquarters to know about more about the irregularities.
It has been alleged AirAsia used lobbyists such as Talwar to get the ‘5/20’ rule for operating international flights removed or amended before the 2014 general elections. Under the ‘5/20’ scheme, a domestic airline was allowed to fly overseas only after completing five years of domestic operations with a fleet of at least 20 aircraft.
“Tony Fernandes wanted the airline to be able to fly internationally from day one and their local Indian partner — Tata Sons Ltd through their nominee R Venkatramanan — would lobby to get all government approvals including the then FIPB clearance and amendment/removal of 5/20 rule of Indian international civil aviation,” the CBI has said in its FIR.
In a statement, Tata Sons’ legal head and AirAsia India director Shuva Mandal has denied any wrongdoing by the carrier and said the company was cooperating with all regulators and agencies. Mandal added that in November 2016, the carrier had initiated criminal charges against its former CEO Mittu Chandilya and had also commenced civil proceedings in Bengaluru for irregularities.
Stay informed with the latest Business News on Times of India. Explore updates on International Business, gain insights with Financial Literacy tips, and make use of Financial Calculators. Don’t forget to check the list of Bank Holidays in 2025, including Bank Holidays in January.
Ready to Master Stock Valuation? ET’s Workshop is just around the corner!
Top Comment
Neeraj Chauhan
2401 days ago
I hope CBI is able to question people sitting in Malaysia.Read allPost comment
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