Sources, who were present in the meeting, told PTI that the Parliamentary Standing Committee on Transport, Tourism and Culture today decided to withdraw the contentious draft report.
The panel's chairman and TMC leader Derek O Brien was not present at the meeting and it was chaired by BJP member Rakesh Singh.
It could not be independently confirmed whether the panel, in the absence of its chairman, could decide to withdraw a report.
Out of the 31-member panel, 16 had given in writing their opposition to adopting the draft report. The majority of these members, who are also in favor of selling the government's stake in the national carrier, are from the ruling BJP.
Strongly objecting to withdrawal of the report, three opposition members--Kumari Shelja (Congress), Arpita Ghosh (TMC) and Ritabrata Banerjee, who was removed from CPI(M)-- walked out of the meeting, sources said.
While the officiating chairman maintained that he was following the rule book by withdrawing the draft report, majority of members were opposing the draft report.
"Parliament and parliamentary institutions are being destroyed by this government. They need counselling," O Brien told PTI.
"Any decision taken without the consent of the (panel's) chairman is legally not valid," panel member and senior Congress leader K C Venugopal told PTI.
According to opposition members, Air India draft report was not on the agenda of today's meeting, which was to discuss only about the development of a Buddhist tourism circuit in the country.
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