Aviation regulator DGCA on Tuesday said it has imposed a fine of Rs 10 lakh on Air India for denying boarding to passengers holding valid tickets and subsequently not paying them the mandatory compensation.
“After that a series of investigations were done by the DGCA and during our surveillance in Bengaluru, Hyderabad and Delhi, there were specific instances in the case of Air India – where the regulation (with respect to compensation to passengers) is not being followed and Therefore, the Directorate General of Civil Aviation (DGCA) in a statement said, a show cause notice was issued to the airline and a personal hearing was also conducted.
According to the regulator, Air India cannot have any policy in this regard and does not pay compensation to passengers. “To say the least, this is a matter of grave concern and unacceptable. In specific cases detailed in the show-cause notice, through AI submissions, as part of enforcement action, the competent authority imposed a fine of Rs.10 lakh is,” it noted.
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“Furthermore, the airline has been advised to immediately put in place systems to address the issue – failing which further action will be taken by the DGCA,” it added.
If a passenger is denied boarding despite having a valid ticket and has reported at the airport on time, the airline concerned has to follow certain rules as per the DGCA.
If the airline concerned is able to arrange an alternate flight for the affected passenger within an hour, then no compensation is to be paid, the DGCA rules stated. However, if the airline is able to provide alternative arrangements within the next 24 hours, the rules stipulate a compensation of up to Rs 10,000.
For anything exceeding 24 hours, a compensation of up to Rs. 20,000 has been prescribed as per the rules of DGCA. “Our terms on this subject are in line with the US aviation regulator FAA and European aviation regulator EASA and follow similar regulations globally to give due respect to passenger rights,” the DGCA said on Tuesday.
Recently, DGCA issued strict instructions to all domestic airlines to follow the said rule in letter and spirit. The DGCA had said last month that airlines are indulging in “unfair practice” of denying boarding to passengers even if they report for their flights at the airport on time.
The aviation regulator, in an e-mail on May 2, had asked all Indian carriers to provide compensation and facilities to passengers affected by such denial of boarding, failing which they would be liable to a financial penalty.
Sources alleged that Indian carriers are overbooking their flights as COVID-19 cases are declining, and airlines do not take them onboard when the number of passengers exceeds the number of seats on the plane.
With inputs from PTI