The Indian aviation regulator has levied a penalty of Rs 10 lakh on Air India for the absence of a policy on denying boarding to passengers holding valid tickets and, thereafter, not providing mandatory compensation.
The issue was found after a series of checks were carried out by the Directorate General of Civil Aviation (DGCA).
"During our surveillance at Bengaluru, Hyderabad and Delhi, there were specific instances, in the case of Air India, where the regulation (regarding compensation to passengers) was not being followed and, therefore, a show-cause notice was issued to the airline and also a personal hearing was afforded," DGCA said in a statement.
DGCA also mentioned that Air India may not have a policy in this regard and does not pay compensation to the passengers.
"To say the least, it is a matter of serious concern and is unacceptable. In the specific cases detailed in the show cause notice, after going through Air India submissions, as part of enforcement action, the competent authority has levied a penalty of Rs 10 lakh," it noted.
According to DGCA guidelines, passengers have the right to alternate flights. The regulator has now advised Air India to immediately put systems in place to resolve the issue and warned of further action in case of failure to implement the order.
As per DGCA rules, if a flyer with a ticket is denied boarding, the airline must provide an alternate arrangement or compensation. If the flyer gets another flight within an hour, no compensation is to be paid. But if the airline provides the flight within 24 hours, compensation up to Rs 10,000 becomes payable. For anything beyond 24 hours, compensation of up to Rs 20,000 is to be paid by the airline.
With inputs from PTI
