COVID: IndiGo to disburse customer credit shells, ticket refunds by Jan 31

Since the resumption of operations in May, IndiGo has been rapidly refunding amounts owed to customers whose flights had been canceled due to the lockdown imposed in view of the COVID-19 outbreak.

The airline has already processed close to Rs 1,000 crores of refunds, which is approximately 90 per cent of the total amount owed to its customers. IndiGo is committed to complete payment against all pending credit shells latest by January 31, 2021.

IndiGo Chief Executive Officer Ronojoy Dutta said that the sudden onset of COVID-19 and the resulting lockdown brought the airline's operations to a complete halt by the end of March this year.

"As our incoming cash flow dried up, we were unable to immediately process refunds for canceled flights and had to create credit shells for the refunds that were due to our customers. However, with the resumption of operations and a steady increase in demand for air travel, our priority has been to refund the credit shell amounts in an expedited manner," Dutta said.

"We are pleased to commit that we will disburse the full 100 per cent credit shell payments latest by January 31, 2021. We would like to thank all our customers who stood by us for their patience and understanding during this unprecedented crisis," he added.

The Supreme Court had, in October this year, accepted the recommendations of the Director-General of Civil Aviation (DGCA) to refund the airfares for flights canceled due to the COVID-19 lockdown and approved a credit shell scheme for the same.

The apex court had held that the credit shell issued in the name of the passenger shall be transferable which can be utilised upto March 31, 2021, and added that the concerned airline shall honour such a transfer by devising a mechsm to facilitate such a transfer.

( With inputs from ANI )