ibnlive » Politics

Jul 03, 2013 at 10:39am IST

Subramanian Swamy alleges irregularities in AirAsia deal; writes to PM

New Delhi: Janata Party President Subramanian Swamy, who had been vocal about his criticism of the Jet-Etihad deal, on Tuesday, had written a letter to Prime Minister Manmohan Singh on the AirAsia deal. Subramanian Swamy has raised questions of corruption involved in the deal.

"It is the duty of the Opposition to bring the corruption to public records. The Foreign Investment Promotion Board (FIPB) would have cleared the project, had I not written that letter," said Swamy to CNN-IBN.

Swamy said that AirAsia deal needs to be re-examined. It is a fraudulent deal. Subramanian Swamy, who seems to have developed an interest in aviation following his continuous criticism of several other aviation deals, said that he has written the letter to the Prime Minister pointing out an intelligence report on Foreign Direct Investment (FDI) impact on National security.

He said the Yechury committee has also raised the questions of irregularities. Manmohan Singh has referred that Aviation Minister Ajit Singh should look at the impact of the middle eastern airlines on the Indian industry, he added.

Subramanian Swamy has not received any response to his letter yet. He said many others have written letters to the Government, but have not got any response. "I came at a time when it appeared that this deal was going to go through and Mr Chidambaram seems to be hell bent to clear it," he told CNN-IBN.

Malaysia's AirAsia, the largest budget carrier in Asia, plans to launch a regional airline in India. The new airline, AirAsia India, will be managed by the Malaysian company and will be based in Chennai. AirAsia will hold a 49 per cent stake in the joint venture with the third partner being Telestra Tradeplace.

India's aviation industry, which has seen continued losses due to high operating costs and regulatory uncertainty, was opened to foreign investors in September, 2012. Foreign carriers are now able to purchase up to 49 per cent of local airlines.

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