Non-payment of dues to oil companies hits Kingfisher Airlines schedules

NEW DELHI: Kingfisher Airlines cancelled at least 34 flights on various sectors today as non-payment of dues to oil companies hit its schedules across the country and the Vijay Mallya-owned carrier grounded at least six of its turboprop ATR aircraft.

At least 34 flights across the country, including nine flights to and from Delhi, and those to Bangkok from Delhi and Mumbai were cancelled.

Airline officials maintained these were planned cancellations and such an exercise would continue "for a limited period".

At least six turboprop ATR-72 aircraft have been grounded as jet fuel supplies were stopped by state-run HPCL as the airline owes about Rs 600 crore to it, aviation sources said.

The BPCL is also not supplying fuel to the airline following an ongoing court case over alleged non-payment of about Rs 250 crore dues.

Indian Oil Corporation has stopped credit to the airline and put it on a cash-and-carry mode, implying that it would have to pay for fuel on a daily basis.

In a statement, the airline said it has "reduced frequency on some of its flights, which are predominantly over weekends or on some routes where there has been slow demand."

"For a limited period, these flights are either being cancelled or clubbed with other Kingfisher flights in a well- controlled pre-determined manner," the statement said.