Air Asia X hit by RM7 million internal fraud
In a filing to the Malaysia stock Exchange Air Asia X said it has been conned out of RM7 million for bogus services.
The airline said it paid out the money for services from 2010 to 2014 which were never provided, an audit has found.
"Following the discovery of the irregularities, the board has on the recommendation of the audit committee appointed PwCCS to carry out a forensics audit and instructed the management to ensure the availability of all relevant documents and key personnel for PwCCS review and interview, where applicable," the carrier said in the filing.
PcCCS found 24 payments were made for a total MYR7.01 million for fictitious services.
Payments were signed off by a management official at AirAsia X.
AirAsia has taken measures to protect its assets and has lodged a police report.
The company didn’t say if criminal charges are pending.
"The board is of the opinion that the amount involved in the irregularities does not have any material financial or operational impact on the company," AirAsia X said.
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