The Directorate General of Civil Aviation (DGCA) has reportedly put cash-strapped Indian airline SpiceJet under “enhanced surveillance” amid the budget carrier facing multiple financial headwinds in recent months.
The aviation watchdog’s action also comes against the backdrop of various lessors seeking repossession of aircraft leased to SpiceJet, and some of the cases have been settled by the airline, PTI reported.
Indian budget carrier, however, refuted any such development.
The DGCA has put SpiceJet under enhanced surveillance for more than three weeks now and it is an ongoing process, an agency official told PTI.
According to the regulatory official, the enhanced surveillance includes increased night surveillance and spot checks.
The focus is to ensure that due to financial issues, there are no potential adverse impact on the flight operations and that there is no “cutting corners” on safety, the report said, citing the unnamed official.
The enhanced surveillance is also to check whether safety obligations are being met or not.
DGCA surveillance denied by SpiceJet
The airline spokesperson, however, said: “The information is absolutely incorrect and is strongly denied”.
No such communication has been received by the airline from the DGCA, the spokesperson said in a statement.
The airline, which has been facing various headwinds, has reportedly settled the issues with certain aircraft lessors.
On June 21, the airline said it has entered into a settlement agreement with Nordic Aviation Capital (NAC), a lessor for its Q400 planes.