DGCA likely to issue show cause notice to Kingfisher

MDT/PTI 05 October 2012

DGCA is looking into legal issues and intends to issue a show-cause notice on suspension or cancellation of license says Ajit Singh

New Delhi/Mumbai: Spelling fresh trouble for the debt-ridden Kingfisher Airlines, aviation regulator Directorate General of Civil Aviation (DGCA) is likely to issue a show-cause notice asking why its flying license should not be suspended or cancelled, reports PTI.

This is being contemplated after the ailing carrier grounded all operations and extended lockout till 12th October after failing to resolve with striking engineers and pilots to the deadlock over non-payment of salaries for last seven months.

"The (Kingfisher) management has declared a lockout. DGCA is looking into legal issues and intends to issue a show-cause notice on suspension or cancellation of license. He (DGCA chief) intends to go ahead with the notice," Civil Aviation Minister Ajit Singh told reporters.

He said the aviation regulator was studying the implications of the strike by the employees of the airline, which has grounded the fleet for safety reasons.

In Delhi and Mumbai, angry staff of the liquor baron Vijay Mallya-owned airline staged protest demonstrations wearing black-bands and carrying placards, to demand speedy disbursal of their dues.

Their protests came in the backdrop of suicide committed by the wife of a Kingfisher employee in national capital on Thursday, apparently due to financial stress due to non-payment of salaries.

Replying to questions, Singh said, "some companies strive (to grow), while some fail. Government can close them down or help them."

The Minister also maintained that the airline would have to satisfy the DGCA on safety before it gets permission to fly again.

The airline, which had earlier grounded all operations till 4th October, last night extended it by another eight days blaming the staff for the strike since Friday last.

"There are a lot of factors involved in it, including the salaries of the employees, their disgruntlement issues and others. If the employees are disgruntled there is an issue of safety.

"In order to give them permission to fly, they have to satisfy the DGCA on all these issues. The rest is if the law allows or...if we want to suspend their licence or revoke it, we have to see if the law permits," Singh told reporters.

Comments

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rajeshpai

1 decade ago

This company deserves to be wound up.The great Dr Vijay Mallya had no time to manage the company.he being the king of good times was required elsewhere-possibly F1,IPL,Race courses,Calendar shoots,Yachts,Monaco,etc.

There will certainly be safety issues, when KFA employees are not paid salaries not just for a month or two but in excess of 6 months.
They will be thinking of where their next meal is coming from or when their lending banker will send goondas/recovery agents to repossess the cars and homes taken on loan.How to pay school/college fees for their loved children?Medical bills of parents.

When all these are weighing heavily on their psyche, can't blame them if safety does get sacrificed sooner than later.
It is a miracle that it has not happened till now as the KFA staff are more committed than their boss towards the airline and the fare paying passengers.

KFA deserves to be closed down.
High time banks started recovery process and invoking the personal guarantee of Dr Vijay Mallya. Sell his mansion,yacht,shares of group companies.
He doesn't deserve any sympathy.
It is his incompetency and love for good life that has brought KFA to the present messy state.