BPCL says Kingfisher owes Rs314 cr as jet fuel dues

BPCL says Kingfisher owes Rs314 cr as jet fuel dues
PTI
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First Published: Tue, Sep 08 2009. 11 56 PM IST
Updated: Tue, Sep 08 2009. 11 56 PM IST
Mumbai: Bharat Petroleum Corporation (BPCL) on Tuesday said Kingfisher Airlines owes it Rs314 crore in dues for purchase of jet fuel and said it would take legal action against the private carrier over non-payment of the said amount.
The PSU refiner, which recently dragged the Vijay Mallya-led airline to the Bombay High Court, said it has stopped supplies of aviation turbine fuel (ATF) since February this year.
“We stopped supplies to Kingfisher in February. They currently owe us Rs314 crore,” BPCL chairman and managing director Ashok Sinha told reporters here.
“We will take legal action. We will follow the contract and go through all the statutory processes,” Sinha said in reply to a query on BPCL’s next step on the issue.
Private airlines Jet Airways and Kingfisher were put on a cash-and-carry basis for buying jet fuel from the PSU refiners earlier this year.
Sinha said they have not faced this kind of problem from other airlines who have been paying their dues well within the credit period.
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First Published: Tue, Sep 08 2009. 11 56 PM IST