HC grants interim injunction to airport privatisation decision

The Madras High Court today granted interim injunction to the proposed decision by Airport Authority of India to privatise Chennai Airport.
Justice R Subbaiah, while granting interim injunction to the proposal, posted the matter for further hearing to May 5.
In his petition, Airport Authority Employees' Union President S R Santhanam contended that the proposed decision was "ultravires and not on the basis of the wisdom of the policy."
The AAI on June 3 last year had issued an order under the subject 'infrastructure development' purportedly to implement the report of the Planning Commission for development, operation and maintenance of identified airports through Public, Private Participation (PPP) mode.

The decision to entrust the operation and management of the Airport was beyond the scope of the provision of the Airports Authority of India-Act 1994, the Union contended.
Section 12(2) and 12(1) of the AAI Act-1994 entrusted with the functions to manage the airports, civil enclaves and aeronautical communication station efficiently to Airports Authority of India.
The Act enables the authority to only make lease of the premises of the airport without affecting functions of the Authority.
Similar petitions challenging the proposal were pending adjudication in Andhra Pradesh High Court, Karnataka High Court and Delhi High Court, the Union said.