Air India posts Rs 4,600 cr operating loss in 2018-19; aims profit this fiscal

Agencies
September 16, 2019

New Delhi, Sept 16: Air India posted an operating loss of around Rs 4,600 crore in the last financial year mainly due to higher oil prices and foreign exchange losses but the debt-laden carrier expects to turn operationally profitable in 2019-20, according to senior officials.

Reflecting tough business conditions, the airline's net loss stood at about Rs 8,400 crore while total revenues touched around Rs 26,400 crore in 2018-19, one of the senior officials told news agency.

Another senior official said the airline is projected to post an operating profit of Rs 700 to 800 crore in 2019-20, provided oil prices do not shoot up significantly and there is no steep fluctuation in foreign exchange rates.

However, the airline incurred an operating loss of Rs 175 to 200 crore in the three months ended June as closure of Pakistan airspace for Indian carriers resulted in higher costs and caused a daily loss of Rs 3 to 4 crore when the restrictions were in place, the official said.

Air India had a loss of Rs 430 crore in the four-month period when Pakistan closed its airspace after the Balakot air strikes.

The official noted that load factor and yields are improving for Air India, which currently flies to 41 international and 72 domestic destinations. Load factor is a measure of seat occupancy and yield refers to average fare paid per passenger.

The situation is anticipated to improve further as more wide-body planes would be available for operations in the coming months, the official added. Air India had grounded several of its wide-body aircraft for maintenance and most of them are in the process of being re-inducted into the fleet.

Air India is to start flying to Toronto from September 27 and to Nairobi in November.

The airline has a debt burden of more than Rs 58,000 crore and servicing the loans is a major challenge as the annual outgo is more than Rs 4,000 crore.

The official who was quoted first said the carrier is facing a financial crisis and disinvestment is the option.

Aviation consultancy CAPA South Asia CEO and Director Kapil Kaul said Air India's financial position is likely to "significantly improve" in the current financial year.

"CAPA expects a closer to break-even in FY 20 excluding increased costs incurred due to closure of Pakistan airspace. With oil prices expected to stay below USD 60, expect a closer to break-even for Air India in FY 20, he told news agency.

Noting that improved financial performance would be a positive for divestment, Kaul said a fully divested Air India that is well capitalised and with improved governance and management would ensure that the airline has a relevant future.

India needs a stronger Air India which is viable without taxpayers' support, he added.

The government has decided on disinvestment of Air India as part of efforts to revive its fortunes. Air India, which has been in the red for long, was sanctioned a nearly Rs 30,000 crore bailout package for a 10-year period by the UPA regime in 2012.

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Well Wisher
 - 
Monday, 16 Sep 2019

Be careful passensgers, especially Gulf passengers, chances of mid-air fuel run-out is more. LOL

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News Network
January 8,2020

Meerut, Jan 8: Hangman Pawan Jallad, who officials say is being considered to carry out the execution of the four Nirbhaya gangrape case convicts, on Tuesday said he is ready for the job which will send out a strong message in the society.

He said executing those who were involved in the horrific crime will bring "great relief" to him, Nirbhaya's parents and everybody else.

Earlier in the day, a Delhi court issued death warrants against all the four convicts in the Nirbhaya gangrape-murder case and ordered that they are hanged on January 22 at 7 am in Tihar jail.

The death warrant, also known as a black warrant, addressed to the office of the Tihar jail chief, was issued by Additional Sessions Judge Satish Kumar Arora against Mukesh (32), Pawan Gupta (25), Vinay Sharma (26) and Akshay Kumar Singh (31).

"I do not have any information regarding the execution, nobody has spoken to me yet. If anyone approaches me, I am ready to do the job. Earlier, I was asked to be ready for the execution on December 16," Pawan Jallad told reporters here.

"Those who were involved in this brutal incident must be hanged, which will send out a strong message in the society," he said.

"Hanging the Nirbhaya gangrape case convicts will certainly bring great relief to me, her parents and everybody else," he added.

Nirbhaya, a 23-year-old paramedic student, was gang-raped and brutalised on the intervening night of December 16-17, 2012, inside a moving bus in south Delhi by the four men, along with two others, before being dumped on the road.

She died on December 29, 2012, at Mount Elizabeth Hospital in Singapore.

Of the six persons convicted, one allegedly committed suicide in jail and another, a juvenile, was released from a reformation home after serving a three-year term.

When contacted, Jail Superintendent of Meerut prison V P Pandey said he has not yet received any letter from Tihar authorities.

"Last month, we had received a letter asking us to keep Pawan Jallad ready but there is no fresh communication. The Delhi court warrants were issued this evening, maybe we will get the letter for sending him by tomorrow (Wednesday)," he said.

The gangrape of 23-year-old, who came to be known as 'Nirbhaya', the fearless one, sparked outrage across the country. Repulsed, people took to the streets across the country, demanding justice for her and better safety measures for women.

The case led to toughening of India's rape laws.

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News Network
February 14,2020

London, Feb 14: Liquor tycoon Vijay Mallya once again asked the Indian banks to take back 100 per cent of the principal amount owed to them at the end of his three-day British High Court appeal on Thursday against an extradition order to India.

The 64-year-old former Kingfisher Airlines boss, wanted in India on charges of fraud and money laundering amounting to an alleged Rs 9,000 crores in unpaid bank loans, said the Enforcement Directorate (ED) and the Central Bureau of Investigation (CBI) are fighting over the same assets and not treating him reasonably in the process.

“I request the banks with folded hands, take 100 per cent of your principal back, immediately,” he said outside the Royal Courts of Justice in London.

“The Enforcement Directorate attached the assets on the complaint by the banks that I was not paying them. I have not committed any offenses under the PMLA (Prevention of Money Laundering Act) that the Enforcement Directorate should suo moto attach my assets," he said.

"I am saying, please banks take your money. The ED is saying no, we have a claim over these assets. So, the ED on the one side and the banks on the other are fighting over the same assets,” he added.

Asked about heading back to India, he noted: “I should be where my family is, where my interests are.

"If the CBI and the ED are going to be reasonable, it’s a different story. What all they are doing to me for the last four years is totally unreasonable.”

Lord Justice Stephen Irwin and Justice Elisabeth Laing, the two-member bench presiding over the appeal, concluded hearing the arguments in the case and said they will be handing down their verdict at a later date after considering the oral as well as written submissions in the “very dense” case over the next few weeks.

On a day of heated arguments between Mallya’s barrister, Clare Montgomery, and Crown Prosecution Service (CPS) counsel Mark Summers, arguing on behalf of the Indian government, both sides clashed over the prima facie case of fraud and deception against Mallya.

“We submit that he lied to get the loans, then did something with the money he wasn’t supposed to and then refused to give back the money. All this could be perceived by a jury as patently dishonest conduct,” said Summers.

“What they [Kingfisher Airlines] were saying [to the banks] about profitability going forward was knowingly wrong,” he said, as he took the High Court through evidence to counter Mallya’s lawyers’ claims that Westminster Magistrates Court Judge Emma Arbuthnot had fallen into error when she found a case to answer in the Indian courts against Mallya.

Mallya, who remains on bail on an extradition warrant, is not required to attend the hearings but has been in court to observe the proceedings since the three-day appeal opened on Tuesday. A key defence to disprove a prima facie case of fraud and misrepresentation on his part has revolved around the fact that Kingfisher Airlines was the victim of economic misfortune alongside other Indian airlines.

However, the CPS has argued that “there is enough in the 32,000 pages of overall evidence to fulfil the [extradition] treaty obligations that there is a case to answer”. “There is not just a prima facie case but overwhelming evidence of dishonesty… and given the volume and depth of evidence the District Judge [Arbuthnot] had before her, the judgment is comprehensive and detailed with the odd error but nothing that impacts the prima facie case,” said Summers.

At the start of the appeal, Mallya’s counsel claimed Arbuthnot did not look at all of the evidence because if she had, she would not have fallen into the multiple errors that permeate her judgment. The High Court must establish if the magistrates’ court had in fact fallen short on a point of law in its verdict in favour of extradition.

Representatives from the Enforcement Directorate (ED) and Central Bureau of Investigation (CBI), as well as the Indian High Commission in London, have been present in court to take notes during the course of the appeal hearing.

Mallya had received permission to appeal against his extradition order signed off by former UK home secretary Sajid Javid last February only on one ground, which challenges the Indian government's prima facie case against him of fraudulent intentions in acquiring bank loans.

At the end of a year-long extradition trial at Westminster Magistrates’ Court in London in December 2018, Judge Arbuthnot had found “clear evidence of dispersal and misapplication of the loan funds” and accepted a prima facie case of fraud and a conspiracy to launder money against Mallya, as presented by the CPS on behalf of the Indian government.

Mallya remains on bail since his arrest on an extradition warrant in April 2017 involving a bond worth 650,000 pounds and other restrictions on his travel while he contests that ruling.

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News Network
July 25,2020

New Delhi, Jul 25: The Indian Air Force (IAF) has made key appointments in its different commands all across the country including formations that look after operations along the borders with China and Pakistan.

Air Marshal Vivek Ram Chaudhari has been appointed as the head of the Delhi-based Western Air Command (WAC) which looks after both the crucial borders, with China in Ladakh and all along Pakistan from Ladakh up to Bikaner in Rajasthan.

Chaudhari would be assuming charge of the new office on August 1, replacing Air Marshal B Suresh who is superannuating after a brief tenure of nine months there.

In the Shillong-based Eastern Command, incumbent Air Marshal RD Mathur would be moving to the Bangalore-based Training Command on October 1, he will be replaced by Air Marshal Amit Dev. The Eastern Command looks after the entire Northeastern region including the border with China from Sikkim to Arunachal Pradesh.

As per the new appointments issued on July 24, Kargil war gallantry awardee Air Marshal Dilip Kumar Patnaik would be taking over as the Senior Air Staff Officer (SASO) at the Prayagraj-based Central Air Command.

On October 1, the Air Force would also get a new in-charge of personnel in Air Marshal RJ Duckworth who is presently the SASO in the WAC.

Air Marshal Vikram Singh would be the next SASO of the WAC. Air Marshal J Chalapati-- the officer who had briefed the Supreme Court on the Rafale issue last year, would be the SASO of the Trivandrum-based Southern Air Command.

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