Lessors get to take away 14 KFA aircrafthttps://indianexpress.com/article/news-archive/web/lessors-get-to-take-away-14-kfa-aircraft/

Lessors get to take away 14 KFA aircraft

After a long struggle,the Directorate General of Civil Aviation (DGCA) has allowed lessors of 14 out of 17 deregistered aircraft of Kingfisher Airlines

After a long struggle,the Directorate General of Civil Aviation (DGCA) has allowed lessors of 14 out of 17 deregistered aircraft of Kingfisher Airlines to take them back. As of now,all the aircraft are parked at various airports across the country.

“Of the 17 deregistered aircraft of Kingfisher Airlines,three of them are under litigation and cannot be taken back by the lessors till courts take a decision on the litigation. We have allowed the owners of the rest 14 aircraft to take them back and use it for operations,” DGCA Arun Mishra said on the sidelines of an event organised by CII,IATA and GMR.

Around 40 aircraft taken on lease by Vijay Mallya-promoted airline are parked at various airports across the country after government wings like service tax and Airports Authority of India have impounded them to recover their money owed by kingfisher Airlines.

Of the 40 aircraft,17 have been deregistered and another 13 is in the process of being deregistered. Ten of the remaining aircraft are owned by Kingfisher Airlines.

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The decision of the government to allow lessors to take back their aircraft would make it difficult for Airports Authority of India (AAI) to recover its Rs 300 crore that Kingfisher Airlines owes them.

Airports Authority of India had impounded the maximum number of these aircraft and were releasing it only after the payment of Rs 10 crore for Airbus A320 and Rs 2.5 crore for small ATR aircraft.

Allowing lessors to take their aircraft means that the revival of Kingfisher Airlines becomes even more difficult.

Wings clipped

* Around 40 aircraft taken on lease by Kingfisher are parked at airports after being impounded them to recover dues

* Of the 40 aircraft,17 have been deregistered and another 13 is in the process. Ten of the aircraft are owned by Kingfisher

* The decision to allow lessors to take back their aircraft would make it difficult for AAI to recover its Rs 300 crore to Kingfisher