Gati Ltd wins arbitration award against Air India

Air cargo and logistics firm Gati Ltd has won Rs 26.82 crore arbitration award against Air India in a dispute related to the airline's dedicated freighter service.

The Arbitral Tribunal, presided by Justice (Retd) R C Lahoti passed its verdict in the matter, Gati Ltd said in a press release issued on Monday.

In May 2007, Gati partnered with Air India for dedicated freighter service. Due to certain dispute the service had to be discontinued from March 2009.

The matter was referred to Arbitration for adjudication of disputes between Air India and Gati. The Arbitral Tribunal in its recent order directed Air India to pay a net sum of Rs.26.82 crore towards claims, damages, interest and costs.

Air India will be liable to pay 18 percent interest in case it fails to make the payment.