IndiGo Under Scrutiny: Antitrust Investigation Amid Flight Cancellations

India's competition regulator has initiated an investigation into IndiGo after the airline canceled thousands of flights in December, affecting passengers nationwide and raising competition concerns. The aviation regulator fined IndiGo, identified deficiencies, and issued warnings, amidst complaints of antitrust violations by the budget airline.

India's competition regulator has opened an investigation into IndiGo in response to widespread flight cancellations that disrupted air travel across the country in December, according to a newly released order from the regulator's website.

IndiGo, the country's largest airline, canceled approximately 4,500 flights in early December, leaving tens of thousands of travelers stranded and highlighting concerns over limited competition in India's rapidly expanding aviation market. The aviation regulator imposed a record $2.45 million fine on IndiGo in January, issued warnings to senior executives, and ordered the removal of the head of operations control.

Following stricter pilot rest and duty rules imposed last year, the Directorate General of Civil Aviation (DGCA), in its probe, identified numerous deficiencies within IndiGo. The antitrust watchdog's investigation stems from complaints alleging violations, including accusations that the cancellations led to price surges and significant inconvenience to passengers.

(With inputs from agencies.)