Another company in the domestic aviation market seems to be stuck in a quagmire of crisis. This is the case of SpiceJet, a company providing affordable aviation services, against which the aviation regulator has taken strict action. This may further increase the troubles of this already troubled aviation company. This crisis has also refreshed the memory of the dark history of the Indian aviation sector, due to which the Indian skies are considered very difficult. Statistics show that during the last 5 years, 8 aviation companies have stopped their operations in the country.
In fact, aviation regulator Directorate General of Civil Aviation (DGCA) has decided to put SpiceJet under extensive surveillance, after which history has started to be remembered. Giving information about the recent action, the regulator has said that the company is being put under extensive surveillance with immediate effect. After this step of DGCA, monitoring of SpiceJet’s functioning will increase more than before.
In this way surveillance increases
When a company is put under extensive surveillance by the DGCA, spot checks and night surveillance are intensified. The DGCA usually takes this action only when it feels that the company concerned is being lax in its work and the safety standards are not being followed properly in its operations.
Action taken if irregularities are found in the audit
DGCA had investigated the company’s operations before taking this action. The regulator has said in a statement that it conducted a special audit of SpiceJet’s engineering facilities on August 7 and August 8. It found many irregularities in the audit. For this reason, the regulator decided to put the company under extensive surveillance once again.
Surveillance has already been increased
SpiceJet has been put on extensive surveillance twice before. First in 2022, when the irregularities related to SpiceJet’s aircraft came to the fore, the regulator had increased surveillance. After that, last year when the news of the company’s financial crisis came, even then surveillance was increased on it. Now the DGCA has again increased surveillance at a time when SpiceJet has sent its 150 employees on leave without pay for 3 months due to financial crises.
SpiceJet shares fell by 7 percent
The action taken by DGCA also affected the shares of SpiceJet. On the last day of the week, i.e. yesterday, Friday, after the end of trading, SpiceJet’s share fell by 5.54 percent to close at Rs 62.56. Before that, the share had fallen by 7 percent to Rs 61.99 at one point in intraday trading.
Jet Airways shut down 5 years ago
The domestic aviation industry has been considered to be very difficult. This is not the first time that an airline company has been caught in a crisis. The Indian market has a long history of airline companies falling prey to crises and shutting down. Jet Airways, which was considered one of the top airline companies till a few years ago, finally had to shut down in April 2019. Last year, Go First’s crisis came to the fore. After that SpiceJet is caught in a crisis.
This airline has shut down in 5 years
During the last 5 years, 8 airlines have closed down. Go First stopped operating in 2023 after the crisis. Before that, in 2022, two airlines Heritage Aviation Private Limited and Turbo Megha Airways Private Limited closed down. In 2020, 3 companies Jaxus Air Services Private Limited, Deccan Charters Private Limited and Air Odisha Aviation Private Limited were closed. In 2019 also, the operations of two airlines Jet Airways India Limited and Jet Lite India Limited were closed.
Also read: SpiceJet’s troubles increased, DGCA increased surveillance, 150 crew members sent on leave without pay
