Tuesday, February 16, 2016

SpiceJet has ‘principled objections’ to govt easing 5/20 rule, says Ajay Singh

New Delhi: SpiceJet has “principled objections” to the government’s move to ease the 5/20 norm even though the airline will not be affected if the rule is removed, Ajay Singh, the airline’s promoter has said.

Pointing out that the rule has resulted in “massive connectivity” within the country, Singh said, “Our belief is that if we were asked to serve the country before we got lucrative rights to go abroad it is unfair that the new carriers should also not have to serve the country before flying overseas.”

“It seems that the Ministry is trying to relax the rules for these two airlines…. AirAsia and Vistara both of whom are in flagrant violation of Indian law today. There is no country in the world today which allows its airlines to be controlled by a foreign airline. US does not do it, Canada does not do it, Europe, the Gulf states, Malaysia and Singapore also does not. It is not allowed,” Singh told BusinessLine in an interview on the eve of the first anniversary of him joining SpiceJet’s board. “India is part of the International Civil Aviation Organisation and other conventions (which say) that airlines in India must be owned and controlled by India. Here we have a situation where these two airlines are controlled by their foreign parents,” Singh added.
16/02/16 Business Line
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