Dubai airport on Thursday stopped SpiceJet passengers from checking in over mounting unpaid dues, The Hindu reported, citing industry sources. This follows the budget airline's failure to clear airport dues.
The brunt of the airline's unpaid dues fell harshly on hundreds of passengers, leaving them stranded at Dubai airport.
Troubles have been mounting for the budget carrier despite multiple fundraises last year. The recent episode adds to the list of problems lined up for the airline. According to The Hindu report, the Ministry of Civil Aviation is “monitoring SpiceJet”.
Earlier this month, SpiceJet announced a settlement with Mumbai airport regarding a "minor financial matter," shortly after the airport had warned of potential temporary disruptions to the airline's operations in a social media post on X (formerly Twitter) that was later removed, reported Reuters.
It may be noted that several passengers on SpiceJet flights from Dubai to India were affected on July 31, 2024, as their flights could not take off as scheduled over unpaid dues.
A few flights from Dubai to India were cancelled due to operational reasons on Wednesday, a SpiceJet spokesperson said then. As many as 10 SpiceJet flights scheduled to operate from Dubai to various cities in India were reportedly cancelled owing to the non-payment of dues.
"On July 31, 2024, a few flights from Dubai to India were cancelled due to operational reasons. The airline took immediate steps to mitigate the impact by rebooking affected passengers on subsequent flights and providing hotel accommodations," PTI quoted the airline spokesperson as saying.
In addition to defaulting on payments to airports, the Ajay Singh-promoted airline has been delaying its staff salaries and payments to its vendors. According to media reports, the airline has also defaulted on making Employee Provident Fund contributions for its 11,581 staff for the past two and a half years.
Aircraft fleet tracking website planespotter.net reported that a total of 37 aircraft were on ground due to multiple reasons, including 18 Boeing 737s, 18 regional jets Q400s and one A340.
The debt-ridden SpiceJet's fleet comprises 59 planes, including 32 Boeing 737s and 24 Q400s. Additionally, the airline has one Airbus A340 and two Airbus A320s, which are currently on wet lease.
(With agency inputs)
