Kingfisher Airlines loses licence
India's troubled Kingfisher Airlines has lost its permit to fly after
a deadline to renew its suspended licence expired, the national aviation
regulator said.
The news is a fresh blow for the debt-laden carrier whose operations
have been grounded since October after employees went on strike over
unpaid wages.
"Kingfisher's flying permit has lapsed," Directorate-General of Civil
Aviation chief Arun Mishra told AFP.
"They failed to provide additional details on the funding of
operations," Mishra added, referring to Kingfisher's revival plan
submitted to the DGCA last month.
But the airline said there is no "cause for concern" as the rules
allow for the renewal of a permit within two years of expiry.
"Kingfisher is confident of securing approval from the regulator on
the restart plan, licence approval and reinstatement of its operating
permit," its spokesman Prakash Mirpuri said in a statement late Monday.
Kingfisher, controlled by liquor baron Vijay Mallya, owes millions of
dollars to banks, airports, fuel suppliers and its staff and has been
looking for a foreign investor to inject fresh funds.
The firm has been the worst-hit of India's airlines in 2012, with the
industry plagued by high jet fuel prices, fierce competition, price wars
and shabby airport infrastructure.
The carrier was India's second-largest until a year ago but its share
shrank to just 3.5 percent -- the smallest in the country -- before
operations stalled completely.
AFP
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