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Kingfisher in dialogue with tax authorities to rectify current situation of flight cancellations

21-Feb-2012 8:58 AM

Kingfisher Airlines Ltd VP corporate communications Prakash Mirpuri reiterated (20-Feb-2012) and clarified the following regarding the current state of the carrier: 

  • The prime reason for the current disruption in its flight schedules is the "sudden attachment of our bank accounts by the IT department". It continued: "This has severely affected our ability to make operational payments leading to the present curtailment";
  • The carrier is "in dialogue with the tax authorities to agree a payment plan and get the bank accounts unfrozen at the earliest". The carrier added it is "appealing to them to see reason that inconvenience to the travelling public is not in anybody's interests";
  • Employee salaries can be paid and the grounded aircraft can be recovered quicker once the bank accounts are unfrozen and the schedule restored on priority;
  • About 15% of the carrier's services operating consistently for the past three months have been cancelled. The carrier stated it has attempting to inform passengers in advance and is attempting to re-book passengers on other carries. It is also offering passengers a full refund;
  • Kingfisher stated it is working closing with travel trade partners;
  • Kingfisher Airlines stated it has "been in touch with the DGCA to keep them informed of the disruptions";
  • Kingfisher Airlines will appear before the Directorate General of Civil Aviation (DGCA) on 21-Feb-2012 and submit all details they want and also a plan to restore the full schedule;
  • Kingfisher Airlines stated, "there are absolutely no safety issues with the aircraft that are operating";
  • Kingfisher stated it has "had a constructive meeting with our bank consortium last week", and confirmed it has "not approached the Government of India for any 'bail out'".
  • Kingfisher stated it has "adequate numbers of flight crew and cabin crew to operate our schedule of flights". [more - original PR]