Spelling fresh trouble for Kingfisher Airlines, aviation regulator DGCA is likely to issue a show cause notice asking why its flying license should not be suspended or cancelled.
This is being contemplated after the ailing carrier grounded all operations and extended lockout till October 12 after failing to resolve with striking engineers and pilots to the deadlock over non-payment of salaries for last seven months.
"The (Kingfisher) management has declared a lockout. DGCA is looking into legal issues and intends to issue a show-cause notice on suspension or cancellation of license. He (DGCA chief) intends to go ahead with the notice," Civil Aviation Minister Ajit Singh told reporters.
He said the aviation regulator was studying the implications of the strike by the employees of the airline, which has grounded the fleet for safety reasons.
In Delhi and Mumbai, angry staff of the liquor baron Vijay Mallya-owned airline staged protest demonstrations wearing black-bands and carrying placards, to demand speedy disbursal of their dues.
Their protests came in the backdrop of suicide committed by the wife of a Kingfisher employee in national capital on Thursday, apparently due to financial stress due to non-payment of salaries.
Replying to questions, Singh said, "some companies strive (to grow), while some fail. Government can close them down or help them."
The Minister also maintained that the airline would have to satisfy the DGCA on safety before it gets permission to fly again.
The airline, which had earlier grounded all operations till October four, last night extended it by another eight days blaming the staff for the strike since Friday last.
"There are a lot of factors involved in it, including the salaries of the employees, their disgruntlement issues and others. If the employees are disgruntled there is an issue of safety.
"In order to give them permission to fly, they have to satisfy the DGCA on all these issues. The rest is if the law allows or...If we want to suspend their licence or revoke it, we have to see if the law permits," Singh told reporters.
