Defaulting Airlines to Pay Interest

Minister of State in the Ministry of Civil Aviation, Shri K. C. Venugopal informed the Lok Sabha today that the aviation companies fail to pay the dues due to one reason or the other.  AAI takes adequate efforts to recover the dues by regular monitoring.  Action is also taken as per the approved credit policy of AAI.  Defaulting companies have to pay interest as per AAI Credit Policy on delayed payments. In cases where delay persists, besides encashing the Security Deposit, the defaulting airlines are put on 'Cash & Carry Basis'.  Interest @ 12% per annum is charged   in respect of traffic dues.  Interest on non-traffic dues is charged as per terms and conditions of the agreement which could be either 18% or 12%. Company-wise details of dues to Airports Authority of India  (AAI) as on 31.03.2013 are as given under:-

                                                                                  

                              SI.No.        Name of the airlines               Amount due * (Rs.in crores)

                              1.            Air India Group                            1539.75

                              2.            Various Foreign Airlines                193.49

                              3.            Kingfisher Airlines                         186.26

                              4.            Jet Airlines Group                          100.16

                              5.            Spice Jet                                           80.17

                              6.            Go Airlines                                        8.71

                              7.            Interglobe Aviation (Indigo)               2.89

                            *Figures are subject to C&AG Audit