AI not paying fees levied on tickets: GMR

Oct 19, 2012 - Sridhar Kumaraswami |

Age Correspondent

The GMR group — that runs both Delhi and Hyderabad airports — has accused Air India of “unauthorised appropriation” of development fees levied via ticketing on passengers taking flights from the two airports.

GMR complained to the civil aviation ministry that this was affecting its “cash flows” and “finances” at both airports. GMR also wants an “escrow account” set up so that such funds are promptly paid to the airport operator.
An Air India spokesperson, however, said payments had been made “regularly”, with Rs 150 crores paid since April. The spokesperson added a move had been initiated to set up an escrow account.
A senior GMR official stated in a communication to the ministry, a copy of which is with this newspaper, that the consortia operating the two airports were not getting the money promptly from Air India, which was said to be “using” these funds that were supposed to be handed to the airport operator.
The ministry is likely to take this up with Air India after GMR’s complaint earlier this week.
Air India sources said the airline was awaiting more equity infusion from the government in order to pay arrears to airport operators speedily.

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