AIRASIA Group Berhad – now known as Capital A Berhad – has filed a defamation suit against the author and chief executive officer of a news portal over the publication of an article with regard to the company’s half-a-billion-ringgit loan from the government.

Capital A filed the suit in the Kuala Lumpur High Court through Messrs Steven Thiru & Sudhar Partnership on March 21, naming the author of the malaysianow.com portal, Azzman Abdul Jamal, the portal’s chief executive officer and editor, Muhammad Abd Ar-Rahman Koya, and MNow Media Sdn Bhd as the first to third defendants.

Based on the statement of claim, Capital A states that the first defendant has authored the article, which was later published by the second and third defendants on the malaysianow.com website on January 24.

The plaintiff claims that the defamatory statement implies that the company has obtained a loan under the Danajamin Prihatin Guarantee Scheme by Danajamin Nasional Berhad only after the appointment of Nazir Razak as chairman of Bank Pembangunan Malaysia Berhad, and not based on the plaintiff’s own merit.

Danajamin is a wholly owned subsidiary of Bank Pembangunan Malaysia.

According to the plaintiff, the defamatory statement also implies that the loan approval was through improper or furtive means, was given approval even though it was a PN17 company (category of companies facing financial problems) under Bursa Malaysia and that the company intended to use the loan for non-airline-related purposes.

The company claims the article is false and malicious as Capital A has met all eligibility criteria to obtain a loan guarantee and the loan would be used specifically to support staff costs as well as major operating expenses such as aircraft maintenance.

It further claims that the loan money had not actually been disbursed due to further conditions imposed on the company and on March 10, the company announced that it will no longer be pursuing the loan.

The plaintiff claims that the defamatory publication has caused the company to incur losses, tarnished the reputation and good name of the company in the eyes of the public and exposed it to ridicule as well as hatred.

Accordingly, the plaintiff applies for an order directing the three defendants to make an apology to the plaintiff on the online portal and its relevant social media platforms as well as to remove the defamatory publication from the website and its social media.

The company is also seeking an interim injunction to prevent the defendants as well as their employees and agents from republishing the defamatory statement pending the determination of the suit, and claiming general, exemplary, aggravated damages, interest as well as costs and other relief deemed fit by the court.

Meanwhile, a lawyer representing the plaintiff said the suit has been served to all defendants and case management before deputy registrar Azlinda Ahmad Sharif was set for April 26. – Bernama, March 25, 2022.