Indothai to take over Celebi’s ground handling ops at Mumbai airport after security clearance revoked: Report

As part of the transition, nearly 3,000 Celebi employees at Mumbai airport will be transferred to Indothai’s payroll, and new Airport Entry Permits will be issued under Indothai's name

In a swift response to the government's revocation of Celebi Airport Services India's security clearance, Mumbai airport has signed an agreement with ground handling firm Indothai to take over Celebi’s staff and assets, sources confirmed to CNBC-TV18.

According to the report, Indothai has received approval from the Bureau of Civil Aviation Security (BCAS) to begin ground handling operations at Chhatrapati Shivaji Maharaj International Airport (CSMIA). As part of the transition, nearly 3,000 Celebi employees at Mumbai airport will be transferred to Indothai’s payroll, and new Airport Entry Permits will be issued under Indothai's name.

The development comes after Adani Airport Holdings on May 15 announced the termination of its ground handling concession agreements with Turkish firm Celebi for both Mumbai and Ahmedabad airports. The move followed the Centre's decision to revoke the Turkish company’s security clearance in the “interest of national security.”

“Following the government of India’s decision to revoke Celebi’s security clearance, we have terminated the ground handling concession agreements with Celebi at Mumbai’s Chhatrapati Shivaji Maharaj International Airport (CSMIA) and Ahmedabad’s Sardar Vallabhbhai Patel International Airport (SVPIA). Accordingly, Celebi has been directed to immediately hand over to us all ground handling facilities to ensure uninterrupted operations,” a spokesperson for Adani Airport Holdings said in a statement.

Celebi Hava Servisi AS’s shares plunged 10 percent in Istanbul on May 16, a day after the BCAS revoked the security clearance of its Indian subsidiary.

Adani Airport Holdings, part of the Adani Group, operates seven major airports across India, including Mumbai, Ahmedabad, Mangalore, Guwahati, Jaipur, Lucknow, and Thiruvananthapuram.