Malaysia Anti-Graft Agency Probes Loan to AirAsia: Reuters

(Bloomberg) -- The Malaysian Anti-Corruption Commission is investigating a 300 million ringgit ($72 million) loan from Sabah Development Bank Bhd. to carrier AirAsia Group Bhd, according to a Reuters report citing an official from the agency.

• “We have started our investigation to look into whether there had been any violation,” S. Karunanithy, MACC director for Sabah state, was quoted as saying in a text message
• Reuters said another newspaper, Daily Express, had earlier reported that the state’s new Chief Minister Hajiji Noor ordered an independent audit firm to conduct a probe and called in anti-graft officials
• Daily Express said the investigation would focus on how the funds were disbursed quickly within a few days of the installation of the new state government, with the loan having been approved on July 2
• The chief minister’s office could not be reached and AirAsia declined to comment, according to the Reuters report
• Former Sabah Chief Minister Shafie Apdal said he welcomed the probe, with the bank having “carried out the best and most thorough investigation and consideration before the approval was given,” according to the Reuters report
• NOTE: AirAsia Secures 300 Mln Ringgit Loan From Sabah Development Bank

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