Air India shuts down credit facility as soon as it goes private, Finance Ministry directs to buy tickets in cash

New delhi date. Wednesday, October 27, 2021

Air India, the country's largest airline, has stopped offering credit tickets on credit to the Tata group. No government ministry or department will get a ticket on loan after this decision.

The finance ministry on Wednesday asked all ministries and departments at the Center to buy Air India tickets in cash. The finance ministry said Air India had scrapped the ticket credit facility. The finance ministry has also directed all ministries to pay Air India's dues.

The company has recently been bought by the Tata Group. The country's largest and state-owned airline was running at a huge loss.

In 2009, Air India had a facility where officials from ministries and departments of the Government of India could travel to India or abroad at government expense. In the past, the expenses were settled between the government and Air India, in which case Air India had to borrow a large amount from the government. The finance ministry has also issued a notification directing all ministries to pay Air India's dues.