The court battle among airport operators, tax authorities and Kingfisher Airlines' lessors over repossession of its planes may have a negative impact on other Indian carriers leasing aircraft from global leasing companies, a leading aviation consultancy firm has said.
Major aircraft leasing companies and financers have started adopting a cautious approach towards Indian carriers, with some even threatening to pull out of India, it said.
Keeping this in mind, the Civil Aviation Ministry is contemplating issuing some guidelines to airport operators and government agencies not to hold on to or seize aircraft as security for unpaid dues of an airline, official sources said.
The primary aim of these guidelines would be to prevent foreign lessors from avoiding the India market by telling the airport operators and other agencies not to take aircraft as collateral from an airline company, they said.
31/03/13 PTI/NDTV
