Kingfisher revival plan in insuffcient, says Civil Aviation Minister

Kingfisher revival plan in insuffcient, says Civil Aviation MinisterIndia's civil union ministry has described the revival plan of Kingfisher proposing an investment of Rs 650 crore as insufficient.

Ajit Singh, Minister for Civil Aviation, Government of India has said that the parent UB Group needs to find a solid investor before the airline can be revived. DGCA said on Friday that the revival plan involving an investment of Rs.
650 crore of Kingfisher Airways is not enough for restarting the company's operations.

Kingfisher Chairman Vijay Mallya had filed the revival plan proposing the fresh investment to get planes back in regular service. The regulator believes that the proposal does not include any plans for repayment of dues to the airports in the country and may not be enough to ensure reliable services.

It is believed that Mr. Mallya met Mr. Shrivastava to explained company's plans to reduce debt and pay off various parties including Airports Authority of India (AAI). The airline is applying for the revocation of suspension of its Scheduled Operator's Permit (SOP) or flying license. The DGCA had announced its decision to suspend the airlines licence.

"How long can they fly with that money, the commitment for which has not even come in writing to the aviation regulator? We don't want a repeat of the earlier situation where the airline flies for some time and then starts downsizing. This time it anyway hopes to begin operations on a downsized note," Singh said.