AAI tells Kingfisher to clear dues, refuses any credit
Even as Kingfisher Airlines is struggling hard to resume flights, the Airports Authority of India (AAI) has made it clear that it will let the carrier use airport infrastructure on credit basis, exclusive sources.tell CNBC-TV18
April 15, 2013 / 13:58 IST
Even as Kingfisher Airlines is struggling hard to resume flights, the Airports Authority of India (AAI) has made it clear that it will let not the carrier use airport infrastructure on credit basis, exclusive sources.tell CNBC-TV18
Though KFA has ceased operations, it has parked its idle aircraft at various airports, upsetting AAI which is yet to receive dues of around Rs 290 crore from the former.It is learnt that that the AAI wants KFA to clear dues and furnish bank guarantees before taking the matter forward. The airline has not been responding to AAI queries on dues settlement.In October last year, VP Agrawal, AAI's chairman had told reporters that the authority is looking at options to recover dues from the loss making carrier. He had even said that he may look at exploring legal action if the airline fails to clear dues.Saddled with over Rs 7,000 crore debt, the airline has faced flak for its inability to repay lenders. KFA had in January this year said that it will resume operations by March with seven aircraft and will later extend it to over 20. However, it has not been able to convince the regulator and also its lenders about how it will raise funds.Even KFA's CEO, Sanjay Aggarwal's meeting with the airport regulator yesterday remained inconclusive. Banking sources told CNBC-TV18 that the plan which the airline presented to the Directorate General of Civil Aviation is unclear like previous plans submitted earlier. Read This: Won't go by Kingfisher's 'empty promises': AAI Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
