Private airline, Kingfisher Airlines has appealed to the Indian government for providing financial assistance saying that it will not be possible for it to carry out normal operations without a temporary bank overdraft.

The airline requires the financial assistance to pay its creditors and avoid grounding its fleet, according to Vijay Mallya, chairman of company, which was once a leading aviation firm and was seen by many as an emerging force in the sector.

"Our lessors have gone to court in London against non payment of lease rentals. If we don't clear dues, our aircraft will be grounded," Mallya said. The company ahs not released any official statement on the matter.

India's civil aviation minister Ajit Singh has assured that the government will not cancel licenses of cash-strapped carriers on safety concerns and that the ministry will work to help the sector recover from the present crisis. An earlier report by the regulator had said that some licenses of airlines violating safety norms might be cancelled.

Kingfisher had cancelled hundreds of flights at the end of 2011 and has grounded several aircrafts sot save funds. The company is also negotiating with banks to restructure its debt.

Meanwhile, the State Bank of India, which is the leading a consortium for the lenders, had declared its investment in the airline as a non-performing asset for the bank. The State Bank has an exposure of Rs 1,457.78 crore in airline struggling with difficult financial situation. Kingfisher's is facing a financial crisis and huge leans amount to as much as Rs 6,000 crore.

An audit by the Directorate General of Civil Aviation (DGCA) has shown that the financial crisis is affecting air safety. There are also indications that the regulators might consider taking away licences from one private sector and another public sector airline.