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Despite huge losses, Air India is yet to recover over ₹527.09 crore for tickets issued on credit to various Government departments as of November 2019, according to the Ministry of Civil Aviation (MOCA).
An Air India official said the amount reflected in this document includes dues on behalf of Parliament, Loksabha and Rajyasabha officials. Air India also issues tickets on credit to the Airports Authority of India (AAI), Ministry of Civil Aviation (MoCA), Labour Commission, IB, CBI, ED, Defence. “The total amount including these agencies is over ₹900 crore,” the official said.
In December last year, Air India had issued a notification stating that it will not issue tickets on credit to government departments or agencies against whom pending dues amounted to ₹10 lakh or more.
According to a report, the dues were over ₹260 crore at that time and Air India was in the process of getting that amount remitted.
The Lok Sabha Secretariat, Airports Authority of India (AAI), Ministry of Civil Aviation (MoCA) and Labour Commission were exempted from the list of agencies to whom the tickets would not be issued on credit.
According to an official MOCA document, reviewed by BusinessLine: “Regular follow ups for the same are made by Air India/Ministry of Civil Aviation and normally such dues are cleared from time to time.”
State-run Air India has been battling severe losses. As of March 31, 2019, Air India had a debt of ₹70,000 crore. The Government is in the midst of privatising the airline and its assets. It plans to divest 100 per cent of its stake in Air India and AI Express and 50 per cent of its stake in Air India SATS Airport Services Private Ltd.
On March 4, the Union Cabinet had said that Non-resident Indians (NRIs) can bid for 100 per cent of the shares owned by the government in the national carrier.
Meanwhile, on Friday (March 13), the government extended the deadline for submission of bids for a stake in Air India till April 30. The deadline was originally March 17.
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