India will take strict action against IndiGo following at least 2,000 flight cancellations this month, the country’s civil aviation minister said on Monday (Dec 8), to “set an example” for airlines that violate regulations.
The cancellations by India’s biggest airline, due to crew shortages after it failed to plan in time for stricter rules on pilot rest, left tens of thousands of passengers stranded, upending vacation plans and weddings, and sparked a growing passenger fury about lost luggage.
It has also raised concerns about the dominance of a single airline in a country of 1.4 billion people.
The crisis has sent IndiGo’s shares down nearly 17 per cent over the past seven days, wiping US$4.3 billion off its market value. That included an 8.3 per cent drop in the share price on Monday.
“We are doing an inquiry and will take very, very strict action … we will set an example for all the other airlines,” Minister Ram Mohan Naidu told lawmakers. IndiGo did not immediately respond to a request for comment on Naidu’s remarks.
India’s aviation regulator has served notices to IndiGo CEO Pieter Elbers and COO Isidre Porqueras, warning of regulatory action that could include penalties and officials being suspended, according to notices seen by Reuters on Saturday.
Source: CNA
