Mumbai: Tata-SIA Airlines has moved a step closer to taking to the skies with the Director General of Civil Aviation (DGCA) saying that there is no reason why the airline’s application for an Air Operator Permit (AOP) should not be considered.
In doing so, the aviation regulator has rejected the objections raised by domestic carriers and other entities, which are likely to be affected by Tata-SIA’s foray into the domestic aviation space.
Disposing the six objections received from the public, the DGCA said that Tata-SIA is registered in India, with two-thirds of its directors being citizens of India. Moreover, substantial ownership and effective control of the joint venture is vested in the hands of Indian nationals, satisfying all conditions for the grant of an AOP, DGCA chief Prabhat Kumar said.
While the Tata Group owns 51 per cent, Singapore Airlines has a 49 per cent stake in the joint venture, which is to be based in New Delhi. On the issue of foreign shareholding, one Rohit Jain had raised an issue over the 18.5 per cent foreign shareholding in the Tata group, arguing that the effective shareholding of the Indian company becomes less than 51 per cent in the airline venture.
09/07/14 Business Line
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In doing so, the aviation regulator has rejected the objections raised by domestic carriers and other entities, which are likely to be affected by Tata-SIA’s foray into the domestic aviation space.
Disposing the six objections received from the public, the DGCA said that Tata-SIA is registered in India, with two-thirds of its directors being citizens of India. Moreover, substantial ownership and effective control of the joint venture is vested in the hands of Indian nationals, satisfying all conditions for the grant of an AOP, DGCA chief Prabhat Kumar said.
While the Tata Group owns 51 per cent, Singapore Airlines has a 49 per cent stake in the joint venture, which is to be based in New Delhi. On the issue of foreign shareholding, one Rohit Jain had raised an issue over the 18.5 per cent foreign shareholding in the Tata group, arguing that the effective shareholding of the Indian company becomes less than 51 per cent in the airline venture.
09/07/14 Business Line
