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Carry out just necessary expenses as Air India's disinvestment likely to complete in 10 weeks: Govt

Bansal in an order said the airline's disinvestment process is in its final stages and letter to intent has been already issued to the Tata group.

PTI

NEW DELHI: Air India's disinvestment exercise is likely to complete within the next 10 weeks and only necessary revenue and capital expenses should be carried out till then, Civil Aviation Secretary Rajiv Bansal said on Thursday.

Bansal, who also holds the charge of Chairman and Managing Director of Air India, in an order said the airline's disinvestment process is in its final stages and letter to intent has been already issued to the Tata group.

"It is important to note that all revenue or capital expenses be carried out only to the extent necessary for the continuity of business till the disinvestment exercise is complete, which is likely to happen within 10 weeks or so," he said.

No fresh contract should be signed without the prior consent of Director Finance or the CMD, he stressed.

"As far as possible, the validity of the same may not be beyond March 31, 2022.

If the validity is beyond March 31, 2022, it should have a termination clause," Bansal said.

On October 8, the Centre announced that Talace Private Limited, a wholly-owned subsidiary of Tata Sons, has beaten a consortium led by SpiceJet promoter Ajay Singh by offering Rs 18,000 crore to win the bid to acquire debt-laden Air India.

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