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Air India should be handed over to an Indian player: RSS chief

IANS  |  Mumbai 

(RSS) chief on Monday said that Air India's "operations haven't been managed properly" and therefore, it should be handed over to another player, who must be Indian.

"Air India should be handed over to anyone who can run it efficiently... The new operator must be an Indian player," said.

Bhagwat, however, also cautioned the against "losing control and ownership of its skies" by selling stake in Air India.

He pointed out that nowhere in world had any country allowed a stake of more than 49 per cent to foreign investors in aviation and specifically mentioned Germany, where foreign ownership is capped at 29 per cent.

On Air India's valuation, the said one should not look only at the tangible assets and get bogged down by the accumulated losses of Rs 55,000 crore, but also look at aspects like landing rights in 30 global airports and availability of trained manpower.

"One has to view Air India's losses in contrast to the assets it has. Air India's operations haven't been managed properly," said.

The has invited "Expression of Interest" to off-load 76 per cent stake and management control of the

On March 28, the government issued the Preliminary Information Memorandum (PIM) for a strategic divestment of Air India, along with the airline's shares in (Air India Express) and (Air India SATS Airport Services).

The owns 100 per cent equity of Air India. In turn, the has a cent per cent stake in Air India Express, while it holds 50 per cent stake in the joint venture

Accordingly, it has been planned to divest 76 per cent government stake in Air India, 100 per cent in and 50 per cent in

--IANS

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Mon, April 16 2018. 23:06 IST
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