ADVERTISEMENT
Govt not satisfied with Kingfisher's investment plan
PTI
Last Updated IST
Women walk past a closed booking office of Kingfisher Airlines in New Delhi October 1, 2012.  Credit: Reuters
Women walk past a closed booking office of Kingfisher Airlines in New Delhi October 1, 2012. Credit: Reuters

Government is not satisfied with Kingfisher Airlines' plans to invest Rs 650 crore to resume its operations as it may not guarantee an efficient and reliable service, a senior DGCA official said today.

"We want an airline to operate in consistent, efficient and reliable manner. The revival plan, which was submitted by the airline, had lots of issues regarding lenders, staff payment which we felt may not lead to reliable services," the official said.

Kingfisher Airlines' plans to invest Rs 650 crore as part of its plan to return to the skies. The airlines had lost its operating licence on December 31, 2012 and had stopped flying since October.

The official, not wishing to be named, said the revival plan filed by Kingfisher Chairman Vijay Mallya last month with the country's aviation regulator Directorate General of Civil Aviation (DGCA) may not be sufficient to carry out a reliable service.

"The plan had no provision for payment of airport operators, who want their dues to be paid before the airlines starts flying again," the official said.

The official said the payment plan of due salary and wages of staff was in a phased manner, which "we felt may not lead to reliable services.

"If the employees were not paid, then the staff may stop working again which may cause inconvenience to passengers. There should be no inconvenience to passengers," the official said.

Deccan Herald is on WhatsApp Channels| Join now for Breaking News & Editor's Picks

ADVERTISEMENT
ADVERTISEMENT
(Published 11 January 2013, 11:19 IST)