Call on Boeing compensation soon, says Ajit Singh

The four-year delay by Boeing to deliver three Dreamliners to Air India may cost it dear. The Cabinet Committee on Economic Affairs would soon clear a compensation package to be paid by Boeing to AI for the delay, Civil Aviation Minister Ajit Singh said in Bangalore on Monday.

A note on the compensation package had been circulated and comments on it from finance and law ministries were awaited, Singh said. "Three planes are ready and a compensation package has to be cleared by the CCEA,” he said, adding, a decision on it would be taken "very soon".

Air India is seeking a compensation from Boeing for delay in production of the planes by four years.

While responding to queries over rumours that the Directorate General of Civil Aviation was looking to cancel the licence of debt-ridden Kingfisher Airlines, Singh added, "An airlines' licence can only be cancelled with immediate effect if there are issues concerning safety."