Rejecting the request, judge James Boasberg of the US district court said the trade group failed to show that American carriers will suffer significant financial loss if the Boeing jets are delivered to Air India
New York: A US federal court has rejected bid by an industry body of major US airlines to block $3.4 billion loan to India’s national carrier Air India to purchase new Boeing planes, reports PTI.
Trade body Airlines for America had filed a lawsuit in November last year against the US Exim Bank opposing the loan guarantee to the Indian national carrier to buy Boeing 787 Dreamliners, saying the financial support would put US carriers at a commercial disadvantage.
Rejecting the request, judge James Boasberg of the US district court for the district of Columbia said the trade group failed to show that American carriers will suffer significant financial loss if the Boeing jets are delivered to Air India.
“Because the plaintiffs have not demonstrated likelihood that they will suffer irreparable harm during the pendency of the lawsuit in the absence of an injunction, the court will deny their requested relief,” judge Boasberg ruled.
The judge further noted that “none of the airlines participating in this lawsuit currently offers a direct flight between the US and India.”
He added that only two planes were scheduled to be delivered to Air India by March, pointing out that it was “wholly speculative” to assume that these deliveries would cause financial injury to US carriers.
“Any injury to plaintiffs that may be caused by the delivery of one or two planes to Air India is, at this stage, wholly speculative,” judge Boasberg said.
Airlines for America, formerly known as the Air Transport Association of America, had filed the lawsuit on behalf of nine of its 14 members, including Delta Air Lines and Southwest Airlines.
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