Cash-strapped Air India has commenced an initiative to recover pending dues from other government departments.

Under the initiative which was commenced last month, the airline identified government departments which owed it more than Rs 10 lakh in dues for tickets availed for official travel.

The airline has also stopped issuing tickets to these departments, except for some such as the AAI and the Ministry of Civil Aviation.

The airline has sought immediate repayment of dues, and until then no tickets will be issued on credit to the officials of these departments.

"No credit will be provided to some government departments for booking Air India tickets till the time these departments do not clear their dues," a senior Air India official told IANS.

"If a department has a due of over Rs 10 lakh then their officials would be required to pay up front to purchase the tickets. Till now the initiative which was started last month has helped us to recover Rs 50 crore."

"However, despite the recovery, still Rs 220 crore worth of dues are still pending with different government departments."

Published On : 26-12-2019

Source : SME Times