Air India owes Rs 5,000 crore in dues, didn’t pay for 2 years: Oil firms
Air India has been delaying payments by over four months for two years, Indian Oil said today a day after state state oil marketing companies (OMC) cut aviation turbine fuel supplies to Air India at six airports. Air India’s overdue payments (including interest) over last few years have crossed Rs 5,000 crore and the mounting dues are impacting the working capital of the companies, it said.
The cash-strapped national carrier operates around 500 daily flights and those of its subsidiaries Air India Express and Alliance Air. It uplifts around 250 kilolitres daily from Kochi, Mohali, Pune, Ranchi, Patna and Vishakhapatnam. Supplies were suspended last evening. Air India said it cancelled Kochi-Agatti on Friday because of disruption of supply. It operated seven other flights with reduced loads as it had to uplift fuel from other airports.
