Alitalia closure: Indian travel agents seek government help in getting refunds

NEW DELHI: Travel agents in India are a worried lot about getting refund from Alitalia, Italy’s biggest airline that is ceasing operations from October 15 due to financial reasons. It will be taken over by a public company, ITA (Italia Trasporto Aereo).

The Travel Agents Association of India (TAAI) has requested aviation authorities here to “direct” International Air Transport Association (IATA) to “ensure all refunds are processed by (Alitalia).” It has sought refunds in cash, reportedly for several “crores”, and not as credit shells — to be used for future travel on Alitalia successor — in accounts of Indian travel agents.

Delhi-based Belair Travel MD Pawan S Jain says travel agencies like his were “persuaded to promote and sell” Alitalia tickets in India with “lucrative incentive scheme on flown revenue of 7% on business class and 6% on economy class.”