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Mittu Chandilya, the Chief Executive Officer of AirAsia India, has resigned.
The development was confirmed by two people from the airline, who declined to be identified. Chandilya’s contract was due to expire on March 31 and he decided against renewing it, the sources indicated.
A new CEO is likely to be identified from within the company as early as next week, with Chandilya being part of the selection process.
Chandilya decided to quit the airline last December although attempts were made to make him stay on. He is likely to continue with AirAsia India till mid-year and is likely to join another aviation company in India.
Lack of empowerment, constant fights between the various promoters of AirAsia India, the inability to bring in more funds and no attempts being made to increase the airline’s fleet are said to be some of the reasons that forced Chandilya to take the decision.
The airline, which started with an initial investment of about $30 million, is in need of more funds.
Air Asia India is a joint venture between Malaysia-headquartered AirAsia Berhad, Tata Sons and Arun Bhatia of Telestra Tradeplace. Bhatia has been raising the issue of mismanagement at various Board meetings.
The airline is going in for a revamp with a new Chief Financial Officer and a Commercial Director expected to be on board soon.
Tony Fernandes, founder of AirAsia, had announced in May 2013 that a “smart boy from the South, Madras” would take AirAsia India to the skies.
The airline commenced operations in 2014.
The launch of the airline marked the Tata Group’s return to Indian skies, 80 years after JRD Tata piloted the first scheduled flight from Karachi to Mumbai.
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