Corporate Sep 13, 2012
DGCA sources told CNBC TV-18's Sumit Jha that the safety audit on two airlines is likely early next week.
The delay in the report, till now they said, is due to broad-based audit parameters, the sources concurred.
The two airlines up for a safety audit are Kingfisher and Air India. However, the general notion was that even if the reports are negative the airlines cannot be shut down.
However, if found following faulty practices, the airlines will be given 30 days to correct any gross negligence. A failure to comply with the directions could attract a hefty penalty.
Talking about the current fare band system, sources in the DGCA told CNBC TV-18 that the fare band is not an ideal system for fare determination as the DGCA cannot decide on fares for different routes.