DGCA removes SpiceJet from enhanced surveillance, says CNBC report
India

DGCA removes SpiceJet from enhanced surveillance, says CNBC report

The aviation regulator's decision came at a time when the airline was in the process of settling dues with various lessors who were seeking repossession of its aircraft.

   

A SpiceJet passenger aircraft on the tarmac at Chhatrapati Shivaji International Airport | Reuters/Francis Mascarenhas/File Photo

Bengaluru: India’s aviation regulator has taken SpiceJet off enhanced surveillance, CNBC-TV18 reported on Tuesday, citing sources.

The Directorate General of Civil Aviation (DGCA) inspected a total of 23 aircraft and made 95 observations as part of the procedure. It also conducted 51 spot checks of SpiceJet’s aircraft across 11 locations in India.

The findings were routine in nature and were not considered significant by the aviation watchdog, the sources said, adding that the airline undertook the required maintenance action to address the DGCA’s findings.

The DGCA had put SpiceJet under enhanced surveillance earlier this month as the airline scrambles to resolve its financial issues. However, SpiceJet denied any such developments at the time.

The regulatory decision came at a time when SpiceJet was in the process of settling dues with various lessors seeking repossession of its aircraft.

The airline did not immediately respond to Reuters’ request for comment on the regulator’s latest move.

SpiceJet’s top shareholder and Managing Director Ajay Singh will inject $61 million into the troubled airline to return it to full operations.

The carrier has been looking to raise funds to restore operations for about a fourth of its fleet that has been grounded.

SpiceJet’s shares rose as much as 4.9% after the announcement.

(Reporting by Kashish Tandon in Bengaluru; Editing by Savio D’Souza and Sonia Cheema)

Disclaimer: This report is auto generated from the Reuters news service. ThePrint holds no responsibilty for its content.


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