BIAL to refund UDF if verdict goes against it

Petitioner alleged that UDF collection by BIAL is illegal as only AAI can collect a fee

The Karnataka High Court on Friday ordered that the collection of user development fee (UDF) by Bengaluru International Airport Limited (BIAL) from domestic passengers is subject to the final order of the court.

A division bench headed by Justice Deepak Varma disposed the application challenging the collection of UDF and stated that if the court judges in favour of the petitioners, then BIAL will have to refund UDF to all passengers who have made the payment till date.

BIAL also voluntarily accepted the court’s decision.

In the meantime, the court allowed an interlocutory application filed by petitioner and advocate GR Mohan challenging the master plan of the Bengaluru International Airport Area Planning Authority (BIAAPA). The court has directed the state government and BIAL to file objections, if any.

The petitioner said that collection of UDF by BIAL is illegal and arbitrary and added that according to Rule 22A of Airports Authority of India (AAI), only AAI has the power to collect UDF after obtaining the Centre’s permission.

BIAL has been collecting a UDF of Rs260 from domestic passengers since January 16. To this, the petitioner submitted that BIAL does not have power to collect UDF when the matter is pending before the court.

Srikanth Hunasavadi/ DNA-Daily News & Analysis Source: 3D Syndication

General: