Adani Group 'lying brazenly' to stock exchanges: Mahua Moitra over group's alleged airline plans

A purported June 4 letter from Adani Airports to the Airports Authority of India (AAI), shared by TMC Member of Parliament Mahua Moitra on social media platform X, shows the airport operator seeking a waiver that would allow it and its affiliates to invest in, establish, acquire, own, promote or control a scheduled airline.

ALSO READ | Adani Enterprises denies plans for airline after reports of aviation push

Shairng the document in her post, the TMC MP alleged a contradiction between the letter and a July 24 disclosure by Adani Group denying reports that the group was planning to launch an airline.


Moitra claimed that Adani Group was “lying brazenly to Stock Exchanges”, pointing to what she described as a June 4 letter to AAI seeking a waiver from the 2006 airport privatisation agreement, followed by a July 24 communication from Adani Enterprises to the BSE and NSE denying reports of an airline plan.


ALSO READ | Adani shows interest to start airline in letter; denies plans in stock exchange filing

Document shared by Moitra
“Adani Defence & Aerospace has been evaluating participation in the airline business as a natural extension of the Adani Group's broader commitment to the aviation ecosystem,” said the group, as per the letter shared by Moitra.

The letter also said Adani Defence & Aerospace is working with Brazilian aerospace manufacturer Embraer towards establishing capabilities for the manufacture of regional aircraft in India.

“Through these initiatives, the Adani Group is uniquely positioned to support the development of a next-generation airline model focused on regional connectivity and can play a meaningful role in bridging connectivity gaps across Tier-II and Tier-III cities while contributing significantly to overall capacity creation within the aviation sector.”

The purported also says, “...Adani Defence & Aerospace and other entities within the Adani Group are constrained from pursuing airline operations and obtaining an Air Operator Certificate (‘AOC’) despite possessing the capability, commitment and long-term strategic intent to contribute to the growth of India's aviation sector.”

The purported letter asks AAI to allow “Adani Defence & Aerospace and/or its affiliates to directly or indirectly invest in, establish, acquire, own, promote and/or control a Scheduled Airline in India”

It also seeks permission for “Any airport operator within the Adani Group and/or its affiliates to hold equity, directly or indirectly, in a Scheduled Airline”

The letter further seeks permission for such an airline to obtain and maintain an Air Operator Certificate (AOC) and related approvals from the DGCA, Ministry of Civil Aviation and other competent authorities.

The letter argues that allowing airport operators to participate in the airline business would help increase competition and reduce concentration in India's aviation sector.

“Grant of the requested waiver would facilitate the emergence of an additional large-scale airline operator, thereby enhancing competition, reducing concentration risk and strengthening overall resilience within the aviation sector.”

The group also argues that the proposal is aligned with the Ministry of Civil Aviation's policy objective of encouraging new airline entrants and expanding aviation capacity.

On regional connectivity, the letter says the proposed airline platform could contribute to connectivity in underserved Tier-II and Tier-III cities and complement the objectives of the UDAN programme.

Adani Group’s denial
Adani Enterprises on July 24 denied reports that it was planning to launch an airline, seeking to quell market speculation after recent reports suggested the conglomerate was exploring an entry into commercial aviation.

In a stock exchange filing, the company said reports claiming it was evaluating an airline business were "entirely baseless and factually incorrect" and added that it was not evaluating any proposal to enter the airline business.

The proposal had drawn opposition from incumbent airlines. IndiGo Managing Director Rahul Bhatia said on Thursday that allowing airport operators to own airlines would create a "massive conflict of interest" and could ultimately hurt consumers. Government officials, however, have said any change would include safeguards requiring operational separation between airport and airline businesses, including restrictions on sharing commercially sensitive information and common management.

The Adani Group is India's largest private airport operator, managing eight airports, including Mumbai International Airport, while also developing the Navi Mumbai International Airport. The group has steadily expanded its presence across the aviation value chain in recent years, though it has now ruled out any plans to enter the airline business.