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Rediff.com  » Business » Govt awaits DGCA report on Kingfisher: Minister

Govt awaits DGCA report on Kingfisher: Minister

Source: PTI
March 21, 2012 15:30 IST
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KingfisherA day after the government warned Kingfisher Airlines that its flying licence could be cancelled, Civil Aviation Minister Ajit Singh said on Wednesday he is awaiting a report from sectoral regulator DGCA on the ailing airline for taking further action.

"We are waiting for report from the DGCA on Kingfisher Airlines.

"The DGCA has not submitted any report to the government," he told reporters in New Delhi.

Singh said the government will not defend the Airline if legal action is taken against it.

Asked about abnormal increase in airfare due to the Kingfisher crisis, Singh said he has not seen any such hike.

"It is as per their system," he said.

The crisis-hit airline has decided to suspend all international flights from March 25

and further curtail domestic operations even as the government warned the carrier that its flying licence can be cancelled if it failed to meet safety norms and financial viability conditions.

Kingfisher has a total debt of about Rs 7,057 crore (Rs 70.57 billion) and accumulated losses of about Rs 6,000 crore (Rs 60 billion).

Singh on Tuesday put the onus on Mallya to maintain its operations and adhere to the schedule even as government constituted a special team to check whether the aircraft used by the airline were safe.

He said Kingfisher Airlines has not paid salaries to its employees, cleared dues to oil companies and to the Airport Authority of India.

Mallya was summoned by DGCA on Tuesday to present a 'clear picture' of the cash-strapped private carrier, as the aviation regulator mulled cancellation of its flying permit.

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