IndiGo Fined Rs 20 Lakh by DGCA for Inadequate Pilot Training Simulator Compliance: Market Leader Challenges Penalty

India's largest airline IndiGo has been penalized Rs 20 lakh by aviation regulator DGCA for failing to use qualified simulators in pilot training for Category C aerodromes. While the company plans to contest the order and maintains this will not affect operations, it continues to dominate the Indian aviation market with a 64.2% share despite recent slight decline, followed by Air India group at 27.3%.

IndiGo Fined 20 Lakh For Not Using 'Qualified Simulators' For Pilot Training

New Delhi: India's leading carrier IndiGo Airlines has received a Rs 20 lakh fine for failing to utilize 'qualified simulators for pilot training at Category C aerodromes', according to a statement released by its parent organization, InterGlobe Aviation.

InterGlobe Aviation informed in a securities filing, reviewed by NDTV on Wednesday, that the company intends to challenge the payment order. The airline emphasized that this regulatory issue would have "no material impact" on its ongoing operations.

The company additionally explained that the delay in disclosing this information—the Directorate-General of Civil Aviation (DGCA) issued its order on September 26—resulted from internal communication challenges within the organization.

IndiGo's stock performance reflected a slight downturn, with shares closing NSE intra-day trading at Rs 5,630.50, representing a decrease of Rs 33.50 or 0.59 percent.

In other developments, a recent DGCA report confirmed that IndiGo maintains its dominant position in India's civil aviation sector with a substantial 64.2 percent market share. Air India follows as the second-largest carrier with 27.3 percent of the market.

However, IndiGo experienced a slight reduction in its domestic market share, declining from 65.2 percent in July to 64.2 percent in August. Conversely, the Air India group, which encompasses both Air India and Air India Express, saw its market position strengthen, increasing from 26.2 percent to 27.3 percent during the same timeframe.

Akasa Air maintained its steady position with a 5.4 percent market share, while SpiceJet's presence diminished further to merely 2 percent. Smaller aviation players including FlyBig, Fly91, and Star Air continued to operate with market shares below 1 percent each.

Source: https://www.ndtv.com/india-news/indigo-fined-20-lakh-for-not-using-qualified-simulators-for-pilot-training-9417953