Ajit Singh warns Kingfisher Airlines of licence suspension

New Delhi: With Kingfisher Airlines' financial stress refusing to go away, the government has sounded a warning to the cash-strapped airline. Aviation minister Ajit Singh on Friday said that if the DGCA feels the airline's inability to pay staff could affect safety or if Airports Authority of India (AAI) refuses more credit to the airline, its licence could be suspended.
"Closing an airline will impact passengers, employees... So cancellation of licence won't happen. Suspension, however, gives a chance to restart operations once the issues have been sorted out," Singh, who has asked DGCA to ensure complete safety on Kingfisher's aircraft, told TOI.
This is the first time that the ministry has issued a warning to Kingfisher, which on Thursday saw its long-unpaid technicians go on strike for a while. In January, the DGCA's financial audit had concluded that "a reasonable case exists for withdrawal of their (Kingfisher's ) licence as their financial stress is likely to impinge on safety" .
About two years ago, the ministry had for the first time ever suspended the licences of two airlines - MDLR and Paramount - for not meeting regulatory requirements. These two can begin operations as and when they comply with norms.
On Friday, the DGCA approved the Kingfisher's truncated daily schedule of 175 domestic and 24 international flights based on a fleet of 28 airworthy aircraft.
03/03/12 Saurabh Sinha/Times of India

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Categories: Kingfisher Mar 2012