New Delhi: Plane lessors will be allowed to retrieve most of the deregistered aircraft they leased to grounded Kingfisher Airlines (KING.NS), the aviation regulator said on Tuesday, easing worries a dispute with global financiers might hurt other Indian carriers.
Financiers have warned that failure to resolve the dispute could starve India of funds needed to develop its aviation industry.
Kingfisher, controlled by liquor baron Vijay Mallya, has been grounded due to a cash crunch.
Lenders, airport operators and tax authorities are trying to recover some $2.5 billion, but disagreement over which creditors should take precedence has left jets stranded.
27/03/13 Reuters/Anurag Kotoky
