SpiceJet gets over Rs 900 crore funding, focus on cost-cutting measures
The latest installment came recently after its Chairman and Managing Director Ajay Singh infused funds into the airline.
In a relief to SpiceJet, which reported malfunctioning cases in the recent past, the Directorate General of Civil Aviation (DGCA) has removed the airline from the list of enhanced surveillance.
The aviation regulator conducted 51 checks at 11 places in India on the airline’s fleet, which includes Boeing 737 and Bombardier DHC Q-400 aeroplanes.
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On June 22, SpiceJet was put under enhanced surveillance following incidents of aeroplane malfunction during the monsoon season last year.
DGCA had said: “A total 23 aircraft were inspected and 95 observations were made by the DGCA teams. The findings were of routine nature and were not considered significant by DGCA.”
It is to be noted that when the regulator puts airlines under enhanced surveillance, then it undergoes more spot checks by the regulator, especially at night.
As per the DGCA, SpiceJet’s share in the domestic passenger market dropped from 5.4 per cent in May to 4.4 per cent in June.
The cash-strapped airline had reported at least eight incidents of technical malfunction between June 19, 2022, and July 6, 2022.
Taking cognisance of these incidents, the DGCA had ordered the airline to operate just 50 per cent of its scheduled flights. However, this cap was removed by the DGCA on October 21, 2022.
SpiceJet is already undergoing a legal tussle with media baron Kalanithi Maran and his Kal Airways related to a share-transfer case.
Kal Airways maintains its stance saying there was no question of an amicable settlement with SpiceJet and asked to pay up the interest amount citing a Supreme Court order.
The apex court on July 7 declined SpiceJet’s application to extend the deadline for making a Rs 380 crore interest payment to Kal Airways.
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