Friday, September 04, 2015

Airlines drag govt to court over ground-handling fiat

New Delhi: Ahead of the inauguration of the Chandigarh international airport by Prime Minister Narendra Modi later this month, private airlines have dragged the Ministry of Civil Aviation and the Airports Authority of India (AAI) to court for not being allowed to handle ground operations at the airport.

AAI has awarded the ground-handling contract for Chandigarh International Airport Ltd (CIAL) to Air India Air Transport Services Ltd (AIATSL), an Air India subsidiary. This has irked private airlines such as IndiGo, Jet Airways, SpiceJet and GoAir, which have filed a petition in the Punjab and Haryana High Court to halt the move.

CIAL is a joint venture between AAI, the Punjab government's Greater Mohali Area Development Authority and the Haryana Urban Development Authority.

"We have given the ground-handling contract to an Air India subsidiary. They will share 21 per cent of the revenue with AAI," Suneel Dutt, chief executive officer of CIAL, told Business Standard.
04/09/15 Somesh Jha/Business Standard
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