Companies

Banks offer no relief for Kingfisher Airlines

Our Bureau Mumbai | Updated on January 16, 2012


There seems to be no relief in sight for the beleaguered Kingfisher Airlines. At a consortium meeting held on Monday, banks have insisted that the promoters of the private carrier should infuse equity capital before banks open up lines of credit.

“The third quarter audit of larger and mid-sized lenders will be completed in the next one week or so. If the airline's promoters do not bring in equity then we will have to declare the account as non-performing,” said a senior banker.

Auditors will not allow any leeway in asset classification. If the account becomes NPA with one bank, then it will become in other banks also, he added.

Published on January 16, 2012

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