Companies & Sectors
Kingfisher crisis deepens as staff rejects part payment offer

The Vijay Mallya-owned airline offered to pay one month's salary soon and promised to expedite payment of the remaining six months as soon as the company gets recapitalised. However, striking employees rejected this offer

Mumbai/New Delhi: The crisis in debt-ridden Kingfisher Airlines worsened on Wednesday as reconciliatory talks between its management and striking engineers and pilots over payment of seven-month salary backlog failed with the protestors rejecting the offer of part payment and vowing to continue their agitation, reports PTI.


With no end to the deadlock, a question mark hung over the airline's plans to resume operations from Friday, after a four-day partial lockout and complete suspension of all operations since Monday night.


"Our strike will continue as management has failed to give any commitment on payment of salary," a representative of striking Kingfisher engineers and pilots, Capt Vikrant Patkar, told reporters after a brief meeting in Mumbai.


On its part, the management offered to pay one month's salary soon and "expedite the payment of the remaining six months as soon as the company gets recapitalised," an airline official said on condition of anonymity.


But this offer was rejected by the employees. "There is no money and they can't give any commitment also. The engineers and pilots will continue with their agitation," Patkar said.


He said the management "offered us one month salary and that too 10-15 days later. We are not going to work unless we are paid for seven months. So we have rejected their offer."


Top Kingfisher officials had promised aviation regulator DGCA that they would hold meetings with various sections of the staff in an attempt to end the strike and the process began today.


Airline CEO Sanjay Agarwal and UB Group's Chief Financial Officer Ravi Nedungadi attended the meetings with the commercial staff as well as engineers and pilots in Mumbai.


They are expected to meet the employees in Delhi tomorrow.


Earlier in the day, Civil Aviation Minister Ajit Singh said the Directorate General of Civil Aviation (DGCA) would submit an interim report on the situation facing Kingfisher, including the safety issue as aircraft engineers were on strike.


Kingfisher has been saddled with a huge loss of Rs8,000 crore and a debt burden of another over Rs7,000 crore, a large part of which has not serviced since January.


Several of its aircraft have been either taken away by its lessors or grounded by the Airports Authority of India for non-payment of dues during the past few months.




5 years ago

The staff are right in demanding full payment of outstandings.Has Dr Vijay Mallya reduced milking his companies for all bills that he runs up??
How do you expect any self respecting employee to continue to work without getting paid.He is to sacrifice and the owner can enjoy GOOD TIMES!!
Will they not have recurring bills to be paid?Rent,credit card,EMIs on home loans, cars,school fees, medical bills,groceries,provisions,transportation-The list will go on and on.HOw can employees run their households.

Why can't Dr Vijay Mallya sell his shares in other companies and bring cash?
Why he should not be sent to jail for defrauding government by using TDS and service tax money for himself??
He can survive only in India where his good friends will ensure he stays free and happy with banks holding the baby nobody wants.

Uptrend on Sensex, Nifty still not over: Wednesday Closing Report

A close below 5695 on the Nifty may lead to a short decline

Resuming after a day’s break, the market was range-bound for the entire session but managed a green close for the third day in a row. With positive opening on the Nifty, the index moved in a narrow range today. However, it managed to make a higher high, higher low and ended in the positive. After a third consecutive day of positive closing, we see the uptrend on the benchmark continuing but a close below 5,695 may result in a short decline. The National Stock Exchange (NSE) saw a volume of 78.53 crore shares and an advance decline ratio of 1126:698.
The domestic market opened with minor gains on expectations of additional policy reforms and a firming trend in the Asian market. Buying in pharma, oil & gas and power sectors helped initial gains.
The Nifty opened nine points up at 5,728 and the Sensex started off at 18,841, a rise of 17 points over its previous close on Monday. The market hit its intraday high in the late morning session amid range-bound trade. At the highs, the Nifty rose to 5,743 and the Sensex climbed to 18,906.
However, the benchmarks could not sustain their meagre gains and witnessed a gradual decline. The indices entered the negative territory in noon trade as the European markets opened in the red on as Spain’s prime minister said the country would not seek a bailout from the European Union.
Continuing volatility saw the indices moving in and out of the red a couple of times before touching their day’s lows at around 1.30pm. At this point the Nifty fell to 5,716 and the Sensex went back to 18,817.
Select buying helped the indices bounce back from the lows in post-noon trade. Support from oil & gas, PSU and healthcare stocks saw the market settling with in the green and in the positive for the third consecutive day. The Nifty closed 12 points (0.22%)  up at 5,731 and the Sensex finished the session at 18,870, a rise of 46 points (0.24%) over its Monday’s close.
The broader indices outperformed the Sensex today; the BSE Mid-cap index gained 0.58% and the BSE Small-cap index climbed 0.96%.
The top sectoral gainers were BSE Oil & Gas (up 0.99%); BSE PSU (up 0.63%); BSE Healthcare (up 0.55%); BSE Metal and BSE Capital Goods (up 0.46% each). The key losers were BSE Auto (down 0.36%); BSE Consumer Durables (down 0.22%); BSE IT (down 0.16%); BSE TECk (down 0.14%) and BSE Bankex (down 0.09%).
Twenty of the 30 stocks on the Sensex closed in the positive. The major gainers were Hindustan Unilever (up 2.37%); Dr Reddy’s Laboratories (up 2.21%); Coal India (up 1.98%); Hindalco Industries (up 1.55%) and TCS (up 1.46%). The losers were led by Jindal Steel (down 4.58%); Hero MotoCorp (down 1.66%); Bajaj Auto (down 1.56%); Infosys (down 1.17%) and ITC (down 1.15%). 
The top two A Group gainers on the BSE were—Tata Global Beverages (up 6.57%) and Max India (up 6.36%).
The top two A Group losers on the BSE were—Jindal Steel (down 4.58%) and AstraZeneca Pharma India (down 2.56%).
The top two B Group gainers on the BSE were—Fintech Communications (up 20%) and Megasoft (up 19.98%).
The top two B Group losers on the BSE were—Vinayak Poly Containers (down 19.36%) and Mahalaxmi Rubtech (down 12.93%).
Out of the 50 stocks listed on the Nifty, 25 stocks settled in the positive. The top gainers were IDFC (up 4.49%); Siemens (up 3.69%); Ambuja Cement (up 3.20%); HUL (up 2.55%) and Dr Reddy’s (up 2.52%). Jindal Steel (down 4.79%); Power Grid Corporation (down 1.96%); Hero MotoCorp (down 1.68%); Bajaj Auto (down 1.63%) and Axis Bank (down 1.57%) settled at the bottom of the index.
Markets in Asia closed mostly down on reports that China’s services Purchase Managers’ Index fell to 53.7 in September from 56.3 in the previous month, its slowest since March 2011. Doubts about Spain seeking a bailout from the EU also weighed on investors.
The Jakarta Composite lost 0.13%; the KLSE Composite shed 0.08%; the Nikkei 225 declined 0.45%; the Straits Times fell 0.06%; the Seoul Composite was down 0.01% and the Taiwan Weighted dropped 0.44%. Among the gainers, the Shanghai Composite surged 1.45% and the Hang Seng rose 0.04%.
At the time of writing, two of the three the key European indices were in the green and the US stock futures were mixed with a marginally negative bias.
Back home, foreign institutional investors were net buyers of equities totalling Rs207.51 crore on Monday while domestic institutional investors were net sellers of stocks amounting to Rs474.20 crore.
McNally Bharat Engineering Co has bagged an order worth Rs280.7 crore from a South African miner Sephaku Fluoride for setting up a 0.6 million fluorspar concentrate plant. This is the biggest value export order for the company. The company’s order book now stands at Rs4,120 crore, including deemed orders (L1 status) of Rs393 crore. The stock closed at Rs114.55 on the NSE, up 0.61% over its previous close.
The country’s largest realty firm DLF said today that it has filed for five patents for inventions that relate to fire safety of its buildings. This is the first time in India that any real estate company has developed such unique technology critical for safety and security of building. The stock lost 0.04% to close at Rs228.90 on the NSE.


How to use your subsidized LPG cylinders wisely?

This article tells you about how to keep track of your ‘rightful’ six subsidized LPG cylinders, unless you want pay more every time

Here are details about the capping of subsidized cylinders scheme for LPG (liquefied petroleum gas) announced by the Government of India on 13 September 2012. You will be surprised to know that almost 50% of the LPG consumers in the country use six cylinders or less during one full year. Therefore, effectively this percentage of customers will not be affected at all. I request each one of you to note the following:

  • •  The number of subsidized domestic LPG cylinders available for the balance period of the current year (i.e. 14 September 2012 to 31 March 2013) would be limited to first three cylinders for each consumer irrespective of the number of cylinders consumed up to 13 September 2012.
  • •  Thereafter, every year, first six cylinders will be supplied at the subsidized rate and beyond the first six cylinders they will be supplied at non-subsidized or market rate.
  • •  In order to ensure that you receive all the six subsidized LPG cylinders in a year, you are required to possess the Domestic Gas Consumer Card (DGCC) booklet with a serial number and consumer number entered by the distributor. DGCC book is also commonly referred to as “Blue Book” and is issued at the time of enrolling a consumer.

If you have lost /misplaced the DGCC booklet or do not have the DGCC booklet or have a DGCC booklet without a serial number/consumer number, you must get in touch with your distributor and obtain a new booklet, duly stamped and signed by the distributor, after paying applicable charges or get the serial number stamped and signed by the distributor in the old DGCC booklet. The serial number of the DGCC book must be entered by the distributor in his system.

To ensure that all cylinders are delivered to the genuine customer, the following process has been devised:

The cash memo and the acknowledgement generated by the system for each cylinder will indicate the number of subsidized cylinder being delivered against entitlement i.e. 1/3, 2/3 or 3/3 as well as the Serial number of DGCC booklet.

Consumers on their part must do the following at each cylinder delivery:

•         Produce the DGCC booklet to the delivery boy while receiving the refill cylinder.

•         Check that the serial number of the DGCC matches with that printed on the cash memo.

•         Sign on the DGCC booklet as well as copy of the cash memo as acknowledgement of receipt of the refill cylinder and handover the same to the delivery man.

•         Ensure that the delivery details are recorded in the book and signed by the deliveryman.


Every consumer must keep the cash memo and DGCC book carefully as in case of any dispute with regard to receipt of subsidized cylinders, the cash memo and the DGCC book will be the reference points for resolution of the case. In the absence of the DGCC booklet, the distributor’s record would be considered as final.

All consumers are requested to get their mobile number recorded with the distributor so that confirmation of delivery of the refill cylinder can be sent through SMS by the respective oil companies to their consumers as and when electronic confirmation system is rolled out.

Consumers are also advised to check their booking and delivery details on the Transparency Portal of oil companies (, and in case of any discrepancy in delivery of cylinders, immediately log complaint in the Transparency Portal.




5 years ago

Dear Team Moneylife,

Thank you for an informative article on LPG subsidised cylinders. I stumbled upon your website after hoping to find some solution to the gross misuse of subsidised cylinders by a distributor in West Delhi.

My mother booked a gas cylinder on 11.01.2013 and has not received it till today. After following up with the gas agency we were told to wait for another 2-3 days. Not wanting to accept this delay we decided to file a complaint at Indian Oil's transparency portal. Upon further research we also found out that our gas distributor is systematically misusing our subsidised cylinders. Since my mother lives alone her LPG consumption is quite low. The last booking made by her was in March 2012. However, we found out that all 3 subsidised cylinders allotted from 14th September until 31st March 2013 have already been used up. On top of it, her customer account shows that another 3 non-subsidised cylinders have been issued under her name. It goes without saying that another 5 cylinders were issued under her name from the period between March till September 2012. Ultimately, as per their records my mother has been booking a cylinder after every 21 days religiously!!!!

We tried to call the toll free number but it does not connect. Lodging a complaint on the transparency portal did not help either as it showed an error that "your complaint cannot be registered in the Master database"(!).

I am shocked at such a blatant misuse of these subsidies. Basically, these distributors, their assitants and their delivery boys are minting money without any fear and that too at the cost of an unsuspecting consumer.

Is there any way out?


Abhay verma

5 years ago

Two weeks ago, I booked a gas cylinder refill at one of the Bharat Gas Agency, telephonic. After following process on IVR they sound that Refill has been booked successfully & would be delivered in Next 48 hours. But after waiting for 60Hrs the refill was not delivered. When I made a call at customer care they told me that refill has been delivered yesterday. But I got the refill after 2 hrs of making them call. But the cylinder was leaking & due to this my family has to face lots of troubles. I had made complaint to them and they took that refill back but still I am waiting for my ordered refill. I had made call to the Bharat Gas agency at 1800222725 so many times regarding the matter but still there is no result. So I decided to file my complaint at But still they have also not replied me regarding this.

Parag Mehta

5 years ago

If the blue book is lost, what is the process to be followed?


5 years ago

In my case, i have ordered 3 cylinders till date in current Fiscal year but the transparency portal shows 7 cylinders

Either there is an issue with the information or there is a fraud going on.
I have raised a query through feedback section on the portal.
What else can i do to stop this?


Tejas Patel

In Reply to Kamlesh 5 years ago


Same for me, I have booked 5 cylinders till today, but in portal it shows me 7 cylinders and they have charged me without subsidised that is 950 Rs.

Vaidya Dattatraya Vasudeo

In Reply to Kamlesh 5 years ago

Which is this portal. I too will prefer to check that. Thanks.

Sachin M Regundwar

5 years ago

Why this period for remaining cylinders is starting from 14th Sept?? As per calculations, it should start from 1st of October. I have officially lodged a complaint against this on the toll free no provided by the Ministry, but no reply came till now. Moneylife, pls help me to fight against this injustice..

Vaidya Dattatraya Vasudeo

5 years ago

We have one cylinder from HP and one from Bharat Gas. How do we proceed.

Thanks in advance.



In Reply to Vaidya Dattatraya Vasudeo 5 years ago

Thanks for your comment.
As per the rules and regulations, you need to surrender one of your connections. However, you can ask for second cylinder facility from the service provider that you watn to retain. You would have to pay charges as applicable, though. In case you continue to keep both cylinders, then both HP and Bharat Gas may blacklist you.

Vaidya Dattatraya Vasudeo

In Reply to MDT 5 years ago

Is it mandatory to get such connection cancelled. Are we liable for this, even if we have not misused it. i.e. never bought more than 6 cylinders in any year. we are an old couple, one cylinder lasts us more than 3 months, plus we are buying induction cooktop. As on as I know, there are many people who have such connections, and no body seems to be aware. Is there any way by which we can request the Government to issue appropriate notifications to the consumers. Or are there already such notifications which I can see at any link.So that we can guide all our acquaintances. Thanks in advance.


In Reply to Vaidya Dattatraya Vasudeo 5 years ago

Thanks for your comment.
Unfortunately, there is no alternative. You will have to surrender one of your connections. (It may be misused by others, since your usage is limited) Kindly read for more info

We are listening!

Solve the equation and enter in the Captcha field.

To continue

Sign Up or Sign In


To continue

Sign Up or Sign In



The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine and Lion Stockletter)