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Air India: Fleet expansion ‘a recipe for disaster’

11 September 2011

Indian government auditors have criticised the aviation ministry over its decision to buy 111 planes for the national airline, Air India.

In a report submitted to parliament on Thursday, the auditors said the 2005 decision was “a recipe for disaster“.

Air India has been losing millions of dollars in recent years.

The ailing state-run airline wants government money to help turn its fortunes around.

The report also questioned the bilateral agreements the ministry entered into with foreign countries which, it said, favoured international airlines.

source: BBC.co.uk

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