MIAL seeks attachment of Kingfisher properties

The airline owes the airport operator about Rs 40 cr in unpaid dues

Troubles continue for the beleaguered Kingfisher Airlines, as the Mumbai International Airport (MIAL) today filed a suit in the Bombay High Court seeking attachment of airline's properties.

The airline owes the airport operator about Rs 40 crore in unpaid dues. Its operating permit lapsed in December end and the Directorate General of Civil Aviation has refused to allow the airline to restart operations in the absence of a viable plan.

A MIAL spokesperson confirmed that it had filed the case against Kingfisher. "We have filed the case. It will come up for hearing after two weeks," he said.

MIAL's latest action to attach properties follows its earlier move to cancel the airline's departure slots and its decision to take over office space allotted to the airline in the airport building.

Kingfisher had 16 departure slots from Mumbai, 11 of them to Delhi. A MIAL spokesperson said six of the departure slots to Delhi have been cancelled and allocated to IndiGo. Other slots, too, will be handed upon demand from airlines.

The Airport Authority of India (AAI) may follow suit and cancel the departure slots of Kingfisher. The airline owes Rs 220 crore to the AAI which has initiated legal proceedings to recover the dues. AAI Chairman VP Agrawal had also told the DGCA not to consider Kingfisher's plan to restart the operations until the airline gives a clear-cut plan to repay its dues.

Kingfisher Chief Executive Officer Sanjay Aggarwal had submitted a plan to restart operations with Rs 650 crore fund infusion from the UB group. The airline hoped to start service with five Airbus and two ATR planes and gradually scale up the operations. However, DGCA and Civil Aviation Minister Ajit Singh have not found the plan satisfactory as it gave no outline on clearance of dues.