State-owned oil marketer HPCL has resumed fuel supplies to Vijay Mallya-promoted Kingfisher Airlines, reports CNBC-TV18 quoting sources.
Sources say Kingfisher owes HPCL approximately Rs 100-130 crore and a non-payment of due had resulted in the fuel stoppage.
Nearly six KFA flights out of Delhi airport were delayed on the supply interruption. The airline had also stopped check-ins for the time being. Sources say KFA and HPCL are working to resolve the issue.
This is not the first time HPCL has stopped fuel supply to KFA. Not long back, it had stopped fuel supply to the airline for a few hours after its dues touched Rs 650 crore. Of this, Rs 170 crore was not covered by any guarantee.
GMR, which operates the Delhi and Hyderabad airports, also threatened the airline that it would put it on a cash-and-carry system after dues touched Rs 90 crore (Rs 68 crore for Delhi and Rs 22 crore for Hyderabad).
Kingfisher Airlines, the only listed airline to end 2010-11 with a loss of Rs 1,027 crore, recently announced it would discontinue its low-cost wing, Kingfisher Red.