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No-frills carrier IndiGo is facing multiple litigations, including those related to income and service tax, involving an amount of at least Rs 1,114 crore. There are eight income tax and six service tax proceedings involving total amounts of Rs 156.99 crore and Rs 168.49 crore, respectively.Besides, the firm is facing nine proceedings related to VAT involving about Rs 12.54 crore.
"Due to the nature and extent of our operations, our company is involved in a large number of cases and is regulated by various regulatory authorities who have the authority to impose penalties for various levels of default," it said. The company's directors, promoters and group entities are also involved in some litigations.
In the nine months ended December 2014, IndiGo posted a profit of Rs 720.84 crore on revenues of Rs 10,359.79 crore.
"We believe that we have a strong balance sheet which we believe provides us with a number of competitive advantages, such as lower finance costs and better financial terms from aircraft lessors and suppliers of aircraft components," it said in the Draft Red Herring Prospectus (DRHP).
