Three regional airlines unlikely to get clearance
19 October 2007
Emric Air, King Air and Jagson Airlines, all of which have applied for regional airline licenses are likely to be determined as ineligible. The ministry of civil aviation is unlikely to give them no-objection certificate (NOC), as it says they have failed to meet eligibility criteria.
Emric Air hasn't got security clearance from the home ministry for its board of directors. King Air has large outstanding dues to the Airport Authority of India (AAI). Jagson had earlier obtained a scheduled carrier licence, but failed to launch operations; the airline's basic financial health is in doubt.
Of the five companies — Air Dravida, Star Aviation, Trans India Aviation, King Air and Emric Air — that sought regional airline permits and made presentations to the civil aviation ministry on Friday 12 October, only the first three are likely to be allowed to operate scheduled regional services.
The Delhi-based MDLR Airlines, presently a non-scheduled carrier, is also likely to get permission to operate as scheduled carrier. According to government and directorate general of civil aviation (DGCA) guidelines, regional airlines can begin operations with a start-up capital of just Rs12 crore.