<p>AirAsia Group Bhd's Tony Fernandes on Tuesday denied a now-defunct Formula 1 racing team formerly co-owned by him had any links to a bribery scandal involving the Malaysian airline's only plane supplier, Airbus SE.</p>.<p>Fernandes, one of the aviation industry's best-known faces, on Monday stepped aside as chief executive of Asia's biggest budget airline for at least two months, as authorities investigate allegations that Airbus paid a bribe of $50 million through sponsorship of the Caterham F1 team to win orders from AirAsia.</p>.<p>AirAsia Chairman Kamarudin Meranun also stepped down along with Fernandes, though both will remain advisers. The AirAsia co-founders, who bought Caterham in 2011, issued a joint statement on Tuesday reiterating that they did nothing wrong.</p>.<p>"Caterham F1, the company alleged to have been sponsored improperly by Airbus, was at the relevant time a Formula 1 racing team that had gone round the globe promoting amongst others AirAsia, AirAsia X, GE and Airbus," Fernandes and Kamarudin said in the statement.</p>.<p>"Throughout the period we were shareholders in Caterham, the company made no profit and was eventually disposed of for 1 pound sterling in 2014. From start to finish, this was a branding exercise and not a venture to make profit."</p>.<p>The allegations by Britain's Serious Fraud Office on Friday concerned a 2012 sponsorship agreement between the now-defunct racing team and Airbus' then-parent, EADS.</p>.<p>AirAsia runs an all-Airbus fleet of 274 planes. It is the world's largest customer of the A321neo single-aisle aircraft.</p>.<p>Shares of AirAsia fell 5% as the stock market opened in Kuala Lumpur on Tuesday. Those of long-haul subsidiary AirAsia X Bhd lost 8%.</p>.<p>Malaysia's MIDF Research downgraded its recommendation on AirAsia stock to "neutral" from "buy" on Tuesday whereas AmInvestment Bank maintained its "sell" rating.</p>.<p>"We find it difficult to argue for a case that 'business as usual' will prevail in the absence of the direct involvement of Fernandes and Kamarudin in the management and decision-making process of the company," AmInvestment Bank said in a client note.</p>.<p>"The duo are the founding members, visionaries and key strategists for the group. This could not have happened at a worse time, amidst the Wuhan conoravirus epidemic that is severely hurting the demand for air travel (which is partially offset by plunging prices of crude oil, and hence jet fuel)."</p>
<p>AirAsia Group Bhd's Tony Fernandes on Tuesday denied a now-defunct Formula 1 racing team formerly co-owned by him had any links to a bribery scandal involving the Malaysian airline's only plane supplier, Airbus SE.</p>.<p>Fernandes, one of the aviation industry's best-known faces, on Monday stepped aside as chief executive of Asia's biggest budget airline for at least two months, as authorities investigate allegations that Airbus paid a bribe of $50 million through sponsorship of the Caterham F1 team to win orders from AirAsia.</p>.<p>AirAsia Chairman Kamarudin Meranun also stepped down along with Fernandes, though both will remain advisers. The AirAsia co-founders, who bought Caterham in 2011, issued a joint statement on Tuesday reiterating that they did nothing wrong.</p>.<p>"Caterham F1, the company alleged to have been sponsored improperly by Airbus, was at the relevant time a Formula 1 racing team that had gone round the globe promoting amongst others AirAsia, AirAsia X, GE and Airbus," Fernandes and Kamarudin said in the statement.</p>.<p>"Throughout the period we were shareholders in Caterham, the company made no profit and was eventually disposed of for 1 pound sterling in 2014. From start to finish, this was a branding exercise and not a venture to make profit."</p>.<p>The allegations by Britain's Serious Fraud Office on Friday concerned a 2012 sponsorship agreement between the now-defunct racing team and Airbus' then-parent, EADS.</p>.<p>AirAsia runs an all-Airbus fleet of 274 planes. It is the world's largest customer of the A321neo single-aisle aircraft.</p>.<p>Shares of AirAsia fell 5% as the stock market opened in Kuala Lumpur on Tuesday. Those of long-haul subsidiary AirAsia X Bhd lost 8%.</p>.<p>Malaysia's MIDF Research downgraded its recommendation on AirAsia stock to "neutral" from "buy" on Tuesday whereas AmInvestment Bank maintained its "sell" rating.</p>.<p>"We find it difficult to argue for a case that 'business as usual' will prevail in the absence of the direct involvement of Fernandes and Kamarudin in the management and decision-making process of the company," AmInvestment Bank said in a client note.</p>.<p>"The duo are the founding members, visionaries and key strategists for the group. This could not have happened at a worse time, amidst the Wuhan conoravirus epidemic that is severely hurting the demand for air travel (which is partially offset by plunging prices of crude oil, and hence jet fuel)."</p>