Appellate Authority Upholds Monetary Penalty
IndiGo has said that an appellate authority has rejected its appeal against penalties imposed on two of its senior executives, leading to the restoration of fines levied earlier. The decision relates to penalties imposed on the airline’s Director Flight Operations and Director Training.The appellate authority, through an order dated January 7, dismissed the appeal and reinstated the monetary penalty of Rs 20 lakh each on the two executives.
Background to the Case
The penalties were originally imposed in September last year for alleged failure to use qualified flight simulators for pilot training at certain airports classified as Category C. Such airports are considered operationally challenging, and pilots are generally required to undergo additional training before operating flights to and from these locations.In October last year, the airline had informed that it was contesting the order before the appropriate appellate authority.
Company Disclosure and Market Reaction
InterGlobe Aviation stated that the matter has now been disposed of with the reinstatement of the penalties on both senior officials.Following the disclosure, shares of IndiGo declined 1.22 percent and closed at Rs 4,844.70 on the BSE on Friday.
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