The recent phase of search in the desolate waters of the Indian Ocean has failed to produce any clues.
The Malaysia Airlines plane disappeared en route from Kuala Lumpur to Beijing on March 8, 2014.
“We don’t accept it. As a matter of fact, we are demanding the statement to be retracted,” a relative said.
Malaysia Airlines was ready to proceed immediately with the compensation process, he said.
Acting Australian PM Warren Truss says the ship Fugro Supporter is on its way to the search area after conducting trials.
MH370 vanished during a flight that was meant to go from Kuala Lumpur, Malaysia, to Beijing.
Many of the families believe there has been a cover up by Malaysian authorities.
JACC said an Australian contracted survey vessel will also be involved in conducting the bathymetric survey, and will arrive in the search area in June.
The investigation report offered no explanation of why the Boeing 777 flew off course during a routine flight from Kuala Lumpur to Beijing.
Malaysia Airlines flight MH370 carrying 239 people had mysteriously vanished on March 8 after taking off from Kuala Lumpur.
Up to 8 military aircraft and 11 ships were assisting in Saturday’s search for missing airliner.
The report has already been sent to the International Civil Aviation Organization (ICAO), the UN body for global aviation, but not made available to the public.
The assistance would come solely from Malaysia Airlines (MAS), with the Government only stepping in to bear some of the costs if there is a need for it.
More than two dozen countries have been involved in the hunt for the Boeing 777.
A mini-submarine deployed to find the crashed Malaysian jet has touched record depths in the Indian Ocean beyond its operating limits.