Air India’s attach notice threat over tax bill

CUSTOMS officials reportedly temporarily seized Air India’s cargo over an unpaid foreign travel tax bill.

An anonymous Mumbai Airport customs official allegedly confirmed it dispatched an attachment notice to the beleaguered carrier and its cargo was kept in a bond warehouse until it paid Rs2.44 crore (US$47,400), leaving Rs7 crore ($136,100).

Air India, which has not paid tax over the last 10 years, appointed new chairman and managing director Rohit Nandan last year, tasked with overhauling the airline.

It is unclear whether the former chairman Arvind Jadhav resigned or was asked to leave the company, as debts piled up.

The carrier’s debts reached Rs42,570 crore ($425.7bn) and accumulated losses of Rs22,000 crore ($4.9bn) as of 31 March 2011.

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