NEW DELHI, APRIL 7: MESCO Airlines stated here on Friday that cancellation of air permit to the company on grounds of financial irregularities, cheating an insurance company and the Airport Authority of India (AAI) or bankers by falsifying documents was completely baseless and devoid of facts.
In a memorandum submitted to the Union Home Minister, L K Advani, the company said the decision to ground its entire fleet merely because the Income-tax authorities conducted searches on its premises in 1997, was taken at the instance of MESCO’s corporate rivals rather than on merit.
While pleading to revoke the order as it had not only grounded the entire fleet but made 400 employees jobless, the company said it had been singled out by the Union Home Ministry.
While admitting that there were I-T searches in 1997, the company claimed that neither the CBI and nor any other government agency had filed any chargesheet against it or its directors so far. Even the I-T cases were against three of the five directors and the same were being settled at various levels like any other corporate houses.
"We have neither cheated the AAI as was claimed by the Home Ministry in its missive to the Civil Aviation Ministry or any insurance company or the banker," claimed the memorandum. On the contrary, authorities who initially claimed that hundreds of crores of rupees were due in I-T returns after the raids, finally brought it down to only a few crores.
It was strange that MESCO had been singled out by the MHA, the company notes. It says, if the MHA had reservations, its three directors were willing to quit. But the its operations should not be brought to a grinding halt since some of its flying machines were being used by the ONGC and oil operations were also being hit.
The company also pleaded with Civil Aviation Minister Sharad Yadav and its Secretary, Ravindra Gupta, to take up the case with the Home Ministry so that its operations could be resumed at the earliest. The Chief Ministers of Orissa and Himachal Pradesh have also asked the Centre to look into the MESCO case afresh.