Vijay Mallya's Kingfisher still owes HPCL Rs 220-crore

The cash-strapped airline, however, continues to be supplied fuel on a cash-and carry arrangement, the official said.

"They (Kingfisher) still owe us Rs 220-crore. Their outstanding (at one time) was Rs 581-crore," Hindustan Petroleum Corporation Limited (HPCL)'s Chairman and Managing Director, Subir Roy Choudhury, told reporters here.

The loss-making private air-carrier was put on the cash and carry basis by the state-run oil marketing company some months ago after it failed to provide bank guarantee cover against payment defaults.

HPCL is Kingfisher Airline's largest aviation turbine fuel (ATF) supplier. The airline buys around 1,300-1,350- kilolitres of jet fuel to the tune of over Rs 130-crore every month.
Minister of State for Petroleum and Natural Gas, Jitin Prasad, had last month, informed the Parliament that Kingfisher had a total outstanding of Rs 525.54-crore as on March 31.

This included a Rs 249.72-crore due that was well within the agreed credit period and Rs 275.82-crore overdue, Prasad had said.

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