New Delhi: A day after banks agreed to release Rs 60 crore to the debt-ridden Kingfisher Airlines (KFA), the meeting between Airlines's CEO Sanjay Agarwal and employees in Bangalore and Chennai scheduled for Friday has been cancelled.

Read more: KFA employee’s wife driven to suicide

After the banks’ nod, the Kingfisher Airlines will be now able to pay its employees salaries with half that amount. Meanwhile, KFA employees have planned to hold a candlelight vigil on Friday afternoon in the national capital.

KFA must convince DGCA: Ajit Singh

However, the lockout has been extended till October 12 and the airline fleet will remain grounded till then. The move to release the money came after the Income Tax (I-T) department lifted the freeze on Kingfisher's accounts on Thursday.

KFA to ground fleet for another week

Adding to the woes of the troubled carrier the company secretary Bharath Raghavan resigned on Thursday. There was more confusion after the meeting as a Kingfisher Airlines official claimed that 100 employees were ready to resume work, but KFA denied any such development.

Notably, earlier Aviation Minister Ajit Singh had said that the carrier will have to take permission from the Directorate General of Civil Aviation (DGCA) to fly. "We have made it clear that Kingfisher has to get DGCA's permission if it wants to fly. Certified engineers have to approve it and the employees issue has to be sorted out," Singh said.

While, the aviation regulator on Thursday filed its status report on KFA asking the airline to declare its future strategy.

As Kingfisher Airlines extended its partial lockout by a week till October 12, Civil Aviation Minister Ajit Singh on Friday said that the debt-ridden company will have to satisfy airline regulator DGCA on safety before it gets permission to fly again.


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