DGCA places cash-strapped SpiceJet under ‘enhanced surveillance’ again to ensure safe operations | Business News
Aviation safety regulator Directorate General of Civil Aviation (DGCA) has once again placed embattled airline SpiceJet under “enhanced surveillance” with immediate effect in a bid to ensure safety of the low-cost carrier’s flight operations. The enhanced surveillance would entail an increase in spot checks and night surveillance of the airline’s operations to ensure operational safety.
“Based on reports of cancellation of flights and financial stress being experienced by SpiceJet airlines, a special audit of SpiceJet engineering facilities was conducted on 7th and 8th August 2024 which has revealed certain deficiencies,” the DGCA said in a statement Thursday.
The Ministry of Civil Aviation (MoCA) is also keeping a close watch on the prevailing situation at the beleaguered airline, according to sources with direct knowledge of the matter.
The DGCA’s decision came close on the heels of the airline’s passengers being stopped from boarding at the Dubai airport on Thursday over the carrier’s failure to clear dues owed to the airport. This was the second incident of SpiceJet flights from Dubai getting disrupted this month. The cash-strapped airline has been struggling financially, running into rough weather with aircraft lessors and some airports. The carrier, which is in the process of raising funds via qualified institutional placement, has been irregular in salary payments as well, it is learnt.
While much of the Indian aviation industry charted a strong recovery from the massive hit of the Covid-19 pandemic, SpiceJet stands out as an exception. Over the past couple of years, the financial stress at the airline forced the regulator to take action to ensure safe flight operations. In today’s action, the DGCA also quoted the airline’s past record, in addition to the recent special audit, as a reason for placing it under enhanced surveillance.
“It may be recalled that after a series of occurrences reported on the SpiceJet fleet in 2022, a special drive of spot checks was undertaken during which SpiceJet was permitted to release aircraft for operations only after confirming to DGCA that all reported defects/malfunctions had been rectified. During the year 2023, based on reports of the airline being under financial stress, it was again placed under enhanced surveillance,” the DGCA said.
“In light of the past record and the special audit carried out in August 2024, SpiceJet has once again been placed under enhanced surveillance with immediate effect. This would entail increase in number of spot checks/night surveillance with a view to ensure safety of operations,” the regulator said.
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