Emirates clarifies Dnata ownership

Ashwini Phadnis

DUBAI, Nov. 8

IN an effort to kick-start the process of award of ground-handling services at four Indian airports, the Dubai-based Emirates group has written to the Home Minister clarifying the ownership of Dnata, the ground-handling agency of the airlines.

We have written to the Indian Home Minister recently regarding the correct ownership of Emirates. The letter addresses our concerns on the false allegations that have been made against us. However, we have not yet received a response from the Indian Government to our communication, the Emirates Chief Director, Support and Development, Mr Gary W. Chapman, told Business Line.

Dnata, the ground-handling agency of the airlines and its three- member consortium was successful in winning the contract to manage ground-handling at four Indian airports namely Delhi, Mumbai, Chennai and Thiruvanathapuram in May this year.

Apart from Dnata which has a 30 per cent share in the consortium, the other members are United Airlines (having a 10 per cent share), Menzies Aviation (30 per cent) and Interglobe (30 per cent).

Though the consortium was successful in the bidding process, the final award of contract has still not taken place as fears have been expressed in certain quarters over whether awarding the contract to the Dnata consortium will not hamper the nations security as there are several retired Pakistan security officials on its payrolls.

Refuting charges that the Emirates Group has former Pakistani Airforce officials in its management, Mr Chapman said that there was no Pakistani although there was an Indian on the board of management. Dnata employs 6,000 Indian nationals and 1,800 Pakistanis, Mr Chapman said.

We will not withdraw but persist to make it happen as it should. In our view not awarding the contract is undermining the credibility of the Indian Government and its attempts at attracting foreign investments, he said.

Further, he pointed out that if the bidders were allowed to start work, then several Indians working in Dubai with the group who had expressed a desire to return home were likely to take up the new positions created there.

However, despite the setback the group is not yet willing to pack its bags and forget about India. We would have to take advice on what appropriate action should be taken. At some time we will have to consider all our options. Emirates have a big presence in India. We believe in its importance from the airlines perspective and the other opportunities it provides, Mr Chapman said when asked whether the consortium was likely to knock the doors of the courts for justice to ensure that it is allowed to carry on the work which it has won.