HC refuses to stay air operation permit given to AirAsia India

The Delhi High Court today refused to stay commercial air operation license granted to new airline AirAsia India by aviation regulator DGCA, saying that any interim order will come in the way of final adjudication of the matter.
A bench of Chief Justice G Rohini and Justice Pradeep Nandrajog dismissed an interim application filed by airlines body Federation of Indian Airlines (FIA) challenging the grant of license and seeking a stay.
A special bench of the court is due to hear on July 11 two separate petitions filed by FIA, prior to the grant of license on May 7, challenging the government approvals to AirAsia India and Tata-SIA Airlines deals.

The High Court today said the instant application against the grant of licence for commercial air operation "does not merit any adjudication on merits for the reason the order dated February 21, 2014 passed by the Supreme Court".
"The Supreme Court order sufficiently protects the interest of the petitioner and that said protection of interest has been incorporated in the certificate issued on May 7, 2014 by the DGCA," it said.
The apex court on February 21 refused to pass any interim order on a plea seeking to restrain the Centre from granting further approvals to operationalise the USD 30 million deal between Tata Sons and Malaysia-based AirAsia.

"Any decision taken by the Government or any other steps taken by or on behalf of respondents shall be subject to high court decision," the apex court had said while dealing with the plea of BJP leader Subramanian Swamy, who had challenged the High Court February 11 order by which his two interim applications seeking a stay on grant of further approvals to operationalise the deal were rejected.

Going by the apex court order, the bench further said, "It has specifically been incorporated in the certificate that the permission granted would be subject to the decision in the writ petition filed as per the February 21, 2014 order of Supreme Court to put it pithily, the interim order passed by this court not to stay the decision taken by Union of India and a Foreign Investment Promotion Board has not been interfered with by the Supreme Court...

"Clearly guides that the onward march has not to be interdicted and that if the impugned decision are quashed status quo anti would have to be restored. M/S AirAsia (India) Pvt Ltd clearly understand the same...."
AirAsia India was granted the flying licence by DGCA on May 7.