The Civil Aviation Ministry has asked the Supreme Court to allow airlines to reimburse passengers for air tickets canceled during the lockdown. Companies that are unable to repay the amount in full can be paid in the name of the passenger as a credit shell.
The petition was filed by the Pravasi Legal Cell seeking a refund of tickets for flights canceled following COVID. On June 12, the apex court had directed that the petition be settled in consultation with the airlines.
Accordingly, the Ministry of Civil Aviation submitted the proposals to the Supreme Court after discussions with the airlines. The case is set to return to court on Wednesday. Refunds will be given to those who cancel their flight after booking a ticket during the first two lockdown periods.
What is a credit shell?
Refunds will be given to those who booked tickets from March 25 to May 3. Airlines can arrange travel for passengers who cannot afford the refund. Travel should be arranged on a pre-booked or non-booked route. In addition, travel arrangements can be made by the person who has booked the ticket. The credit shell opportunity is until March 31, 2021. The central government has proposed to increase the value of the credit shell by half a percent from the date of cancellation of the ticket till June 30 and then by 0.75 percent till March.
