DGCA issues Show Cause Notice to Kingfisher Airlines for cancellation of permit

Kingfisher Airlines gets funds but staff crisis hits another low;The airline needs Rs. 55-60 crore to pay salaries for two months

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DGCA has issuedf Show Cause Notice to Kingfisher Airlines that why its Permit should not be cancelled or suspended

Directorate General of Civil Aviation has issued a show cause notice to the Kingfisher Airlines (KFA),to be replied within fifteen days,that why its permit should not be cancelled or suspended under the provisions of Section 15(2)(b) of Schedule XI of the Aircraft Rules 1937 as the Airline has failed to establish a safe, efficient and reliable service.

The operations of the KFA are under suspension since 30th September 2012 due to strike by its employees. Union Minister of Civil Aviation ShriAjit Singh while taking a strong note of the situation has said that there will be no compromise on safety of aircraft operations. 

The Government has also taken legal opinion in this regard. As per Section 15(2)(b) of Schedule XI of the Aircraft Rules 1937, DGCA may cancel or suspend permit of an Airline for such period as he thinks fit, if he is satisfied that the holder of the permit has failed to establish a safe, efficient and reliable service.

Earlier the Director General, Civil Aviation ShriArun Mishra had called the CEO of the KFA on 2nd October and had asked him to submit an operational plan of the Airline. In the meeting the DGCA also asked the Airline to show their operational preparedness before DGCA could allow recommencement of its operations by fulfilling the following conditions:

The CEO of the Airline had assured to resume operations by the 4-5 October 2012 but the Airline has not been able to resolve its issues.  They have not approached DGCA with any operational plan. DGCA reviewed the current situation of the Airline today and decided to issue the show cause notice to the Airline under Section 15(3) of Schedule XI of the Aircraft Rules 1937.

Meanwhile, Kingfisher Airlines plunged further into crisis after its Bangalore staff refused to attend a meeting with the management, sources said. The airline had to cancel its meetings in Bangalore and Chennai scheduled for yesterday.

The airline’s management had committed to continuing negotiations with its pilots, technicians and other staff in a bid to defuse the crisis over non-payment of salaries since April this year.

Talks between the airline management and Delhi-based pilots and engineers on Thursday failed to resolve the standoff. Similar talks in Mumbai on Wednesday ended in what one senior pilot called a stalemate.

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