NEW DELHI: The Directorate General of Civil Aviation (DGCA) is undertaking a financial audit of India's airways to ensure that they are not cutting corners on airplane safety because of a fund crunch, information company PTI reported on Sunday, quoting a source.
The DGCA has already performed a financial audit of Indigo and Air India, which has been defaulting on salary payments to its staff, besides grounding numerous airplane because of cost issues with distributors. Next in the line is Jet Airways on August 27, followed by means of Air Deccan and Air Odisha.
The two carriers, which together were mandated to fly on 84 routes beneath the government's regional connectivity scheme, had lately cancelled numerous flights, citing shortage of pilots and technical glitch of their airplane, the source said.
Air Deccan had started operations in December closing 12 months whilst Air Odisha took to the skies in February this 12 months.
The Ahmedabad-based GSEC Aviation and Monarch Networth Capital had closing 12 months got 100 per cent stake in Air Deccan and 60 per cent in Air Odisha.
India's aviation business has been beset by means of emerging losses, jointly suffering a loss of Rs 2,500 crore in 2017-18 - a figure which is predicted to balloon to Rs 3,600 crore in 2018-19 because of emerging ATF prices, slowdown in adding new capacity and declining yields.
The Naresh Goyal-promoted Jet Airways, through which Gulf provider Etihad holds 24 per cent stake, is grappling with financial woes and its proportion price has also taken a beating in recent weeks.
On August nine, the board of directors of Jet Airways deferred the subject of attention of the unaudited financial effects for the June quarter.
Regulator Sebi is looking into Jet Airways' deferring the announcement of the June quarter effects following reservations expressed by means of the airline's audit committee.
(With PTI inputs)
The DGCA has already performed a financial audit of Indigo and Air India, which has been defaulting on salary payments to its staff, besides grounding numerous airplane because of cost issues with distributors. Next in the line is Jet Airways on August 27, followed by means of Air Deccan and Air Odisha.
The two carriers, which together were mandated to fly on 84 routes beneath the government's regional connectivity scheme, had lately cancelled numerous flights, citing shortage of pilots and technical glitch of their airplane, the source said.
Air Deccan had started operations in December closing 12 months whilst Air Odisha took to the skies in February this 12 months.
The Ahmedabad-based GSEC Aviation and Monarch Networth Capital had closing 12 months got 100 per cent stake in Air Deccan and 60 per cent in Air Odisha.
India's aviation business has been beset by means of emerging losses, jointly suffering a loss of Rs 2,500 crore in 2017-18 - a figure which is predicted to balloon to Rs 3,600 crore in 2018-19 because of emerging ATF prices, slowdown in adding new capacity and declining yields.
The Naresh Goyal-promoted Jet Airways, through which Gulf provider Etihad holds 24 per cent stake, is grappling with financial woes and its proportion price has also taken a beating in recent weeks.
On August nine, the board of directors of Jet Airways deferred the subject of attention of the unaudited financial effects for the June quarter.
Regulator Sebi is looking into Jet Airways' deferring the announcement of the June quarter effects following reservations expressed by means of the airline's audit committee.
(With PTI inputs)
Is your airline safe? DGCA will soon find out
![Is your airline safe? DGCA will soon find out]()
Reviewed by Kailash
on
August 13, 2018
Rating:
