Air India will ask for Auction in November for a Loss of Rs. 8400 Crores

The Narendra Modi government at the Center is planning to call for initial bids to sell 100 per cent stake in Air India. The process is expected to begin next month.
Air India will ask for Auction in November for a Loss of Rs. 8400 Crores

The sale process of the government airline AI is scheduled to begin in November. According to news agency PTI, the government is planning to call applications next month. This means that the companies or the person who wants to buy Air India will have to apply first. However some bodies have already shown interest in Air India.

Sources said, "Bids can be called at the end of this month or next month. It will be tendered through the recently developed e-tender system. "Here, when a company or a person submits an application, it is believed that they are willing to buy the auctioned company. Please tell here that the government is preparing to sell 100 percent stake of Air India. At the same time, unions of Air India employees are opposing the proposal for disinvestment.

Rs. 58 Crore in Dept
Air India, which has a debt of about 58 thousand crores, has incurred a huge loss of 8,400 crores in the financial year 2018-19. Air India has suffered heavy losses due to higher operating costs and foreign exchange losses. In these circumstances, Air India is unable to pay the fuel dues to the oil companies. Recently, oil companies also threatened to stop fuel supply.

Earlier in August, Indian Oil and two other oil companies had stopped fuel supply at 6 airports of Air India due to non-payment of dues. The 6 airports at which this situation was built are Pune, Visakhapatnam, Kochi, Patna, Ranchi and Mohali. Here the oil companies had stopped providing aircraft fuel to Air India. At that time, Air India owed about Rs 5,000 crore to the oil companies.

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