Malaysia Airports applies to recover AirAsia payments from 3 banks

AirAsia says it will be taking necessary action to preserve its interest.

KUALA LUMPUR: Malaysia Airports (Sepang) Sdn Bhd (MASSB) has filed an application for a garnishee execution order against AirAsia Bhd with the High Court for the payment of outstanding passenger service charges (PSC).

MASSB is a wholly-owned subsidiary of Malaysia Airports Holdings Bhd (MAHB).

In a filing with Bursa Malaysia today, AirAsia Group said MASSB, through its solicitors on Sept 6, had served the Garnishee Show Cause Orders dated Aug 23 on three of AirAsia’s banks, directing them to set aside certain funds for the payment of the judgment sums.

According to MAHB’s announcement on the local bourse on July 18, the Kuala Lumpur High Court granted a summary judgment order in favour of MASSB for RM40.72 million in unpaid PSC and a RM792,382 in unpaid late payment charges.

“We will be taking the necessary action to preserve our interest,” AirAsia said.

“Further updates in respect of any material development on the matter will be made from time to time in compliance with the requirements of the main market listing requirements of Bursa Malaysia.”