financetom
Business
financetom
/
Business
/
Air India has dues of over Rs 822 crore towards VVIP charter flights, reveals a RTI response
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Air India has dues of over Rs 822 crore towards VVIP charter flights, reveals a RTI response
Feb 6, 2020 7:43 AM

Cash-strapped Air India, which is being disinvested by the government, has outstanding dues of more than Rs 822 crore towards VVIP charter flights, according to latest data provided by the national carrier to an RTI response.

In its RTI response provided on Wednesday to Commodore Lokesh Batra (retd), who sought to know the latest data on outstanding bills of Air India, the carrier said as on November 30, 2019, Rs 822 crore were pending towards VVIP charter flights.

It also said an additional Rs 9.67 crore towards evacuation operations and Rs 12.65 crore towards ferrying foreign dignitaries were also pending.

Under VVIP charter flights, Air India provides its aircraft to ferry-- the President, the Vice-President and the Prime Minister-- for which the bills are paid by the ministries.

If outstanding bills of VVIP charter flights were not enough, the carrier had also accrued bills of Rs 526.14 crore towards tickets taken on credit by government officials as on March 31, 2019, according to the reply.

Out of Rs 526.14 crore, Rs 236.16 crore were pending for over three years, Air India said in its response.

The airlines also said provisioned Rs 281.82 crore as an accounting charge in its account books for "probable non-recovery".

Air India had stopped the practice of issuing tickets on credit to government agencies for the travel of their officials in December last year because of accruing pending bills.

In the RTI response, the airlines has provided a list of agencies against which bills were pending. These include the CBI, the Enforcement Directorate, Income Tax, Intelligence Bureau, CRPF, Department of Posts, Reserve Bank of India among others.

Batra had sought "updated (till the date of response), completed and detailed information (including dates and invoices)" on total pending dues towards VVIP charter flights and amounts owed by different public authorities towards Air India among other details.

The information under the RTI Act is defined as any record in any form held by or under the control of public authority which has to be furnished to an applicant within 30 days subject to exemptions under the law.

According to a response provided by the Civil Aviation ministry on December 5, 2019, a net loss of Rs 8,556.35 crore (provisional) was reported by Air India. The total debt of the airlines is pegged at around Rs 60,000 crore.

On Wednesday, the ministry said reasons for losses reported by Air India were --high interest burden, increase in competition especially from low cost carriers, adverse impact of exchange rate variation due to weakening of the Indian Rupee, and high operating costs.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
GXO Logistics Shares Rise After Lifting 2025 Outlook, UK Clearance for Wincanton Deal
GXO Logistics Shares Rise After Lifting 2025 Outlook, UK Clearance for Wincanton Deal
Jun 20, 2025
11:52 AM EDT, 06/20/2025 (MT Newswires) -- GXO Logistics ( GXO ) shares were rising 11% in recent Friday trading after the company raised its 2025 adjusted earnings guidance and obtained UK regulatory clearance for its acquisition of Wincanton. The company said Thursday it now expects 2025 adjusted earnings of $2.43 to $2.63 per diluted share, up from its previous...
Google agrees $36 million fine for anti-competitive deals with Australia telcos
Google agrees $36 million fine for anti-competitive deals with Australia telcos
Aug 17, 2025
SYDNEY, Aug 18 (Reuters) - Google agreed on Monday to pay a A$55 million ($35.8 million) fine in Australia after the consumer watchdog found it had hurt competition by paying the country's two largest telcos to pre-install its search application on Android phones, excluding rival search engines. The fine extends a bumpy period for the Alphabet-owned internet giant in Australia,...
Update: Market Chatter: US Considers Ending China Waivers for Global Chipmakers
Update: Market Chatter: US Considers Ending China Waivers for Global Chipmakers
Jun 20, 2025
11:49 AM EDT, 06/20/2025 (MT Newswires) -- (Updates with additional details throughout.) A US official has told major global chipmakers that he wanted to revoke waivers that allow them to ship US chip-making equipment to their factories in China without individual licenses, The Wall Street Journal reported Friday, citing people familiar with the matter. Jeffrey Kessler, who heads a unit...
Sprott Physical Uranium Trust Closes Upsized US$200 Million Bought Deal Financing
Sprott Physical Uranium Trust Closes Upsized US$200 Million Bought Deal Financing
Jun 20, 2025
11:48 AM EDT, 06/20/2025 (MT Newswires) -- Sprott (SII.TO) on behalf of Sprott Physical Uranium Trust , on Friday said it closed its upsized bought-deal public offering for proceeds of US$200 million. Proceeds will be used by the Trust to buy physical uranium in the form of uranium oxide in concentrates and related fees and expenses in accordance with its...
Copyright 2023-2026 - www.financetom.com All Rights Reserved