Supreme Court orders airlines to refund bookings during coronavirus lockdown

The Supreme Court of India has ordered to refund the passengers who had to cancel the flight tickets booked during two-month long nationwide lockdown. The apex court’s decision is in line with the Directorate General of Civil Aviation’s (DGCA) scheme which proposed the refund of air tickets booked prior to the lockdown.The airlines also have the option to create a credit shell in the name of the passenger which can be used for travel on any route before March 31, 2021.
If the amount is still unused, carriers must offer a refund, the court said in its 35-page order.

The ruling comes in response to petitions filed by various individuals and organisations including Air Passengers Association of India and Travel Agents Federation of India that alleged violation of refund rules by airlines, reports the Reuters.

Considering the recommendations of the DGCA the SC Bench comprising justices Ashok Bhushan, RS Reddy and MR Shah approved a credit shell scheme which will be valid till March 31, 2021. “…Such formulations are workable solutions in these peculiar circumstances which are prevailing in the country,” it said. “…we cannot lose sight of the present situation prevailing in the country and across the globe, ie the effect of pandemic Covid­-19. It cannot be disputed that the civil aviation sector, which is one of the important sectors, is seriously affected in view of the ban imposed for operating flights,” the SC Bench said.

Ordering the civil aviation ministry to provide the necessary notification in this respect, the Supreme court said in cases where air tickets had been reserved through agents, a refund will happen through them only.

For bookings made during and for travelling during lockdown needs to be refunded immediately “as the airlines were not supposed to book such tickets”, the court said.