AI, IA merger challenged in court

Mumbai: Merger of national carriers Air India and Indian Airlines has been challenged in the Bombay High Court on the ground that it defies Parliament's intent to keep international and domestic carriers separate.
The petition filed by Air India Cabin Crew Association (AICCA) also questions the Constitutional validity of section 620 of Companies Act, which empowers government to exempt any government company from provisions of the Act.
Air India Limited and Indian Airlines Limited were created by a Parliamentary statute, and, therefore, without the Parliament's nod they cannot be amalgamated, the petition contended. AICCA claims to the "sole recognised trade union" in Air India Limited, and has 1,800 members. The petition is expected to come up for hearing in the first week of December.
25/11/07 PTI/Times of India

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Categories: Air India - International Nov 2007, Air india Budget Nov 2007, Air India Domestic Nov 2007, Air India Regional Nov 2007, NACIL Nov 2007