SpiceJet declines after DGCA imposes Rs 10 lakh fine

SpiceJet fell 1.69% to Rs 46.40 after India's aviation regulator imposed Rs 10 lakh fine on the low-cost air carrier for training pilots on faulty simulator.

Spicejet clarified to the bourses that it has 650 pilots trained on MAX aircraft. The Directorate General of Civil Aviation (DGCA) had an observation on the training profile followed for 90 pilots.

As per the advise of DGCA, the company restricted these 90 pilots from operating MAX aircraft, until these pilots undergo re-training to the satisfaction of DGCA. This restriction does not impact the operations of MAX aircraft.

The company said it has adequate trained pilots available for its operations. Basis the observation of DGCA these 90 pilots shall undergo re-training. DGCA has imposed penalty of Rs 10 lakh basis its audit observations, it added.

SpiceJet is a low-budget air carrier. On consolidated basis, it reported a net profit of Rs 42.47 crore as against a net loss of Rs 66.78 crore. Revenue from operations rose 34.8% year on year to Rs 2204.68 crore in the quarter ended 31 December 2021.

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