Lately, a hike in the cancellation of flights has been seen. The apparent reason behind this is the global pandemic. However, the other reason for the cancellation is the imposition of new lockdown measures by several states, making it difficult for airlines to operate. The DGCA has been asked by the supreme court to respond to a plea seeking directions to airlines for giving a full refund of these canceled flights.
Some examples are like West Bengal has banned flights from Delhi, Mumbai, Chennai, Pune, Nagpur till July 19. Several tickets have been cancelled without giving any reason. The West Bengal government has tightened the restrictions and again imposed a full lockdown again from 9 July.
The Air Passengers Association of India filed a plea before the Supreme Court on the issue of cancellation of flight tickets as a whole which is not restricted to Kolkata flights and said that the airlines are resorting to the use of credit shell. Using this credit shell, the passengers can book their flights with the same airlines in the future (within one year). This is a mechanism deployed by the cash-strapped airlines to retain their flyers.
A notice has been issued to the civil aviation and DGCA by justice Ashok Bhushan seeking their replies on pleas.
The rules clearly say that the tickets being canceled during the lockdown period will be refunded. Now officially there is no lockdown period and the second phase of the unlocking has begun. So, there is no clarity on what will happen to tickets being canceled from now onwards.
AirAsia on Monday posted an 803.3 Million Ringgit (US $188 million) loss for the three months ending March 31. This is the company’s biggest first-quarter loss since its listing in November 2004.
Shares of AirAsia Group Berhad halted again on Wednesday after their auditor said that there was material unreliability that cast doubt on the budget carrier’s ability to continue as the concern grows.
The company said last month it will be evaluating proposals for raising capital to strengthen their equity and liquidity. The company is looking towards the end of COVID-19 that might help them recover.
The company management on Tuesday has said that equity raising through placement or rights issues looks imminent.
AirAsia said on Monday that there is an on-going consideration for their joint ventures and collaborations with other companies that might result in additional third-party investments in specific segments of the business. How long will it take for the company to recover remains a contingency.
Sachin Shetty, a Mumbai resident, recently bought 3 tickets from Mumbai to Mangalore non-stop flight for 5th July. Four days prior to the flight, the airline told him that the flight on which he was traveling is canceled and the refund has been generated to his credit shell.
He later got to know that Mangalore is not even connected to Mumbai via direct flights. So why did that airline sold him tickets for direct traveling?
A similar case happened with a businessman named Brijesh Sutaria. Brijesh booked a ticket for Mumbai to Delhi flight on 30th May for 7th June. Later again, the airline told him that his flight is canceled and he was refunded of Rs. 4200.
In the case of Sutaria, the day after he booked the ticket, he got a message from the airline that his flight has got canceled due to operational reasons. The airlines are offering tickets for non-existing flights and collect public money and put them in a credit shell for 730 days without giving any interest.
Sutaria believes that he was sold a ticket for Delhi-Mumbai flight which was non-scheduled. Mr. Shetty was also sold a ticket for a non-existing flight. The airline also didn’t mention a clear reason behind the cancellation of flights. “They gave an option to reschedule but I couldn’t find any other flights for the day and my whole money went to credit shell”, said another passenger.
NEW DELHI: In a recent challenge to cash-strapped Air India, Airports Authority of India (AAI) has warned to put the airline on cash and carry from Tuesday at Ahmedabad, Bhubaneswar, Chennai and Kolkata airports. AAI has to take this step because of dues from air India.
While senior Air India officials say that the airline is on a standalone basis owes for over Rs 1,000 crore to the AAI with the overall dues for the Air India group being over Rs 1,200 crore. AAI did not disclose what amount they want to retain air India as due.
“The competent authority has approved to put their operation of Air India on ‘cash and carry’ basis out for Ahmedabad, Bhubaneswar, Chennai and Kolkata Airports from 00.01 hours of July”, said AAI GM R Ramani.
Air India, whose flights have been affected by the on-going pandemic, has requested AAI not to take this step given its financial situation. “AI is in very bad financial condition due to COVID…. The government has already mentioned that a small portion of AI debts and excess of current liabilities over current assets will be transferred to Air India Asset Holding Ltd. It is very likely that a substantial portion of the debts of Air India would be transferred to above SPV. At this stage, cash and carry can bring additional financial crises and stress on air India liquidity. You are requested to reconsider the above decision and give some more time for the release of dues of the company till the situation normalizes for all flight operations”, said Air India’s ED Sangeeta K. Singh.
India’s low-cost carrier, Vistara, is in talks with plan makers and leasing companies. “The lessors are delaying in taking deliveries of some aircrafts”,the commercial officer of carriers chief said on Monday as COVID-19 pandemic hits the demand of air travel.
Vistara, which is a joint venture of Singapore Airline and India’s Tata Sons placed an order for 13 A320 neo aircraft from airbus in 2018 and another 37 aircraft to be purchased from leasing companies; all due for delivery till 2019 – 2023.
The company also has made an order for 6 Boeing 787-9, for their international flights. The delivery for these aircraft is due till 2020 – 2021.
Due to logistic issues and production delays, deliveries of some planes have already been postponed. The other reason for this delay is the coronavirus.
Vistara has a fleet of 41 aircraft and is taking delivery of one Boeing 787 and two other planes this calendar year. Like other airlines, Vistara is also facing low demands for air travel due to the on-going pandemic. With 45% total capacity Indian airlines have started domestic routes with international travel still banned.
The vigorous worldwide outbreak of COVID 19 has brought a detrimental effect on human life. Thousands of people have succumbed to this pandemic making the current situation dire for humans to fend. Intrinsically, in order to adapt to our environment and lives have changed. These last four-month totally Transcended human lifestyle with insurmountable changes.
Now I would like to introduce you guys to a man who is trying to bring a change in society and he’s not afraid to go beyond boundaries. Who believe in helping and bringing change in cities and villages and do care for people in need. He believes that it will change the whole nation. Of course, Rome wasn’t built in a day. He is discovering some of the necessitous places in the northern region of India. A lot of people judge a man for helping others thinking the person might have an ulterior motive when he helps a person in need, irrespective of cast, color, and creed. But none of that matters if your heart is in the right place.
Now I would like to introduce you guys to a man who is trying to bring a change in society and he’s not afraid to go beyond boundaries. Who believe in helping and bringing change in cities and villages and do care for people in need. He believes that it will change the whole nation. Of course, Rome wasn’t built in a day. He is discovering some of the necessitous places in the northern region of India. A lot of people judge a man for helping others thinking the person might have an ulterior motive when he helps a person in need, irrespective of caste, color, and creed. But none of that matters if your heart is in the right place. Neil Salaria who is the co-founder of aviation indeed, entrepreneurship based in Delhi. His real struggle begins when he left Delhi and came back to his hometown after a long time to his family and got stuck due to the lockdown whereas the corona crisis was on its peak. He dealt with some monumental issues in his hometown and some others just like us all have been sacrificing and the most drastic one is working from home but later on things have been getting more adverse when he realized there are no internet services in his hometown which made him completely desolate he was inadequate to do his work without internet. He was not able to connect with his team. He subjectively felt that if he is personally facing this much disturbance in network connectivity what about regional people living there, what about those who moved back from metro cities just like him. He noticed that the terms and conditions announced by the government over and over again in the multiple lockdowns and all that is directly affecting people’s lifestyle whether it is about studies or about office work. He came across That a lot many people in his neighborhood like the one who are working in multinational companies in cities and now they move to villages are actually facing this internet connectivity dilemma as they’re not able to work from home due to the internet issue. They’ll be jobless soon if this will continue for more days. He found that this new digital trend is not fulfilling the demands of people who live in remote areas because of inadequate network services provided by private distributors. As we all know that internet speed plays a paramount role whether we are using it for business or educational purposes. With the low speed of the internet, it would not be possible to study online and these mediocre problems are resulting in unfavorable to the lives of people in rural areas.
Meanwhile looking towards the internet facilities for all intents and purposes whereas internet speed was unproductive which was obstructing his business and many others like him in the area. Moreover, neither there were any Internet facilities nor any quality Wi-Fi connectivity. Therefore he decided to scrutinize with BSNL broadband services but they said they won’t be able to do anything as well nothing can be done considering satisfactory internet connectivity there. Afterward, he tried connecting with private distributors they also refused and explained that nothing can be done because it’s a geographically small town. All these went on for a month. Looking throughout he makes a decision to overwhelm all these obstacles At least for the better tomorrow. Then Neil Salaria acknowledged all these troubles and took an initiative to provide a better network especially to the children living there and was facing the network connectivity problems that will directly affect their studies as well their future but now they would complete their studies hassle-free and others can also fulfill the requirements of their job and can benefit out of it too. Looking all this after running around for 2 months he successfully signed a tender contract with BSNL for high-speed internet. And provided first-class network facilities to his neighborhood and now everyone is Benefiting out of it. And it was something that gave inner happiness to Neil Salaria as the kids in his hometown can learn and grow to get equal opportunities in life.