SC Okays DGCA Proposal on Refund of Flights Booked During Lockdown
The QuintThe bench said the airlines shall make all endeavours to refund the collected amount to the passenger within 15 days from today. "If on account of financial distress, any airline/airlines are not able to do so, they shall provide credit shell, equal to the amount of fare collected, in the name of passenger when the booking is done either directly by the passenger or through travel agent so as to consume the same on or before 31 March 2021," said the top court. The bench observed that the air passenger traffic has come down heavily and which is gradually being restored, and at this moment any strict enforcement action of the CARs would further restrict/reduce their operations and such enforcement action may further jeopardise the possibilities of generation of cash by airlines which can further adversely affect/delay the refund cycle. The bench said the credit shell issued in the name of the passenger shall be transferable which can be utilised up to 31 March 2021. "It is also made clear that such credit shell can be utilized by the concerned agent through whom the ticket is booked, for third party use," observed the court.