New Delhi | Jagran Business Desk: The Finance Ministry on Wednesday asked all the ministers and central government departments to clear their dues towards Air India immediately. The ministry further said that all ministers and departments till further notice will now purchase Air India flight tickets in cash only as the airline has stopped credit facility to the government after privatization.

Director in the Government of India, Nirmala Dev, said that the process of disinvestment of Air India and Air India Express is going on and Air India has decided to stop the credit facility for buying air tickets. Therefore, all the ministers and central government departments are asked to clear their due as soon as possible, the Department said in the Office Memorandum. 

“It has been mentioned that in all cases of air travel (both domestic and international) including LTC where the government of India bears the cost of air passage, the official concerned may travel only by Air India. Recently, the government of India has decided to disinvest Air India, the process of disinvestment of Air India and Air India Express is ongoing. Air India has stopped extending the credit facility on account of the purchase of air tickets. Therefore, all ministries/departments are directed to clear Air India’s dues immediately. Air tickets from Air India may be purchased in cash till further instructions," the expenditure department said in a notification.

“Ministries/Departments are directed to bring out these instructions to the notice of their subordinate offices/institutes etc. under their administrative control, for their compliance,” it further said.

The Department of Expenditure under the Ministry of Finance, in a 2009 order, stated that officers can only travel by Air India, in case of (both domestic and international), including LTC, where the Government of India bears the cost of the air route.

Earlier this month, the Tata sons had won the bid to acquire national carrier Air India for Rs 18,000 crore. The largest conglomerate defeated SpiceJet promoter, and with this, the airline returned to its founder after a long wait of 68 years. 

Posted By: Mallika Mehzabeen