DGCA Issues Show Cause Notice to Go First, Asks to Stop All Bookings Till Further Orders

India’s Directorate General of Civil Aviation (DGCA) on Monday, May 08 issued a second notice to low-cost carrier Go First for failing to continue flight operations in a reliable manner. The airline suspended flights on May 3, leading to the regulator’s decision to halt its booking and sale of tickets.

Notably, the airline has now extended the cancellation of all its flights until May 12, 2023.

DGCA said in a statement on Monday that “Go First has been directed to stop booking and sale of tickets directly or indirectly, with immediate effect and until further orders.”

The regulator added that it had issued a show cause notice to the airline for its sudden cancellation of flights and initiation of the corporate insolvency resolution process under IBC.

The notice, issued under the relevant provisions of the Aircraft Rules, 1937, demands that Go First respond within 15 days to the allegations of failure to continue the operation of its services in a safe, efficient, and reliable manner. The airline’s Air Operators Certificate (AOC) will be reviewed based on its reply.

Go First’s Financial Woes

Go First, an Indian ultra-low-cost airline owned by the Wadia Group has been facing financial difficulties for some time. The airline is reportedly struggling with a debt of around INR 13,500 crore ($1.8 billion), with its owner, the Wadia Group, unable to attract investors to bail it out.

The airline’s decision to suspend operations came after it failed to secure additional funds from investors.

Passengers Stranded as Go First Suspends Operations

The latest notice from DGCA has raised concerns about the future of the airline, with questions being raised about whether Go First will be able to continue operations. Go First has been one of the major players in India’s low-cost aviation sector, and the suspension of its flights has impacted thousands of passengers.

In conclusion, the future of Go First remains uncertain, with the airline’s fate depending on its ability to address the allegations of failing to continue its services in a safe, efficient, and reliable manner.

The regulator’s decision to issue a second notice highlights the seriousness of the situation, and it remains to be seen what action will be taken in the coming days.