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Govt directs airlines to refund tickets booked during lockdown

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The Centre on Thursday issued an advisory for all domestic and foreign airline operators to issue full refund to passengers who had booked during the lockdown period up till May 3 for both domestic and international flights.

To be clear, the order categorically states the advisory is only for those passengers who have booked flights during the first lockdown period from March 25 till April 15 for flights up till May 3, since the extension of the lockdown period.

Senior civil aviation ministry officials have clarified the order does not apply to passengers who had booked flights prior to the lockdown for the same period. “There were several distress cases that we got of passengers who had booked flights from April 15 onward thinking the lockdown would be lifted and our priority was to address those cases. The second issue was of passengers who had booked in the first lockdown period during the same period. For example, there were several cases where airlines were still taking bookings despite India’s lockdown orders. Which we said will not be allowed and they will have to pay the passengers back in full,” a senior ministry official said requesting anonymity.

As per the advisory issued by the ministry of civil aviation, airlines have to refund the full amount collected without levy of cancellation charge.

“Substantial number of travelers eager to move from the places where they were have booked tickets for the travel after the end of the lockdown period i.e. from April 15 onward. Currently, the Government has further extended the lockdown period up to May 3, 2020, with the ban continuing on operation of all domestic and international flights,” the advisory says.

“MOCA acknowledges the unusual situation that has arisen due to the lockdown being imposed to contain the further spread of COVID-19 and its consequential effect on the air passengers and airlines,” it added.

Aviation regulator Director General of Civil Aviation has been instructed to monitor the compliance. “A circular has been issued by the ministry of civil aviation for guidance and strict compliance of domestic and foreign airline operators engaged in domestic and international air travel in India,” the DGCA said.

If a passenger has booked a ticket during the first lockdown period and the airline has received the payment for booking of air ticket during the first lockdown period (from March 25 to April 14) for travel during the second lockdown period (from April 15 to May 3, 2020) for both domestic and international air travel and the passenger seeks refund on cancellation of the ticket, the airline shall refund the full amount collected without levy of cancellation charge. The refund shall be made within a period of three weeks from the date of request of cancellation,” the advisory says.

The advisory came after a meeting was chaired by the civil aviation minister with CEOs of private airlines Wednesday to discuss the issue of refunds for flights cancelled during the lockdown period. “Airlines have reiterated that advance bookings for flights will not be stopped,” another senior official said.

Airlines, say, IndiGo had on April 14 announced it will resume flight operations from May 4 in a phased manner.

The airline plans to start with curtailed capacity Initially and will increase the operating capacity over subsequent months. It also said it will re-open selected international flights, depending on the existing international travel guidelines.

“We will begin operations for domestic only and then gradually ramp it up further, to commence operations on some international routes as well. Our singular focus will be on ensuring the health of our customers and our employees,” Ronojoy Dutta, Chief Executive Officer, IndiGo said.

At present, most airlines are providing credit shell in lieu of refunds for flights cancelled due to the lockdown.

Aviation regulator in the United States too has come down heavily on airlines who are not providing refunds on flights cancelled due to Covid-19. It had, earlier this month directed its airlines to issue refunds to passengers.

Meanwhile the Indian Railways has cancelled advance booking for all trains. The Railways which was taking bookings till April 14, said no advance reservation of train tickets, including e-tickets, will be allowed till further orders, though the facility of online cancellation will remain functional.

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