Jet Airways to undergo a financial audit by DGCA

A financial audit of Jet Airways, one of the leading Indian international airline based in Mumbai is to be conducted by the Aviation regulator DGCA. The company’s fiscal conditions due to the increasing jet fuel prices and low fares are the major reasons for this audit. It is reportedly undergoing financial woes and has had a significant decline in its share price.

As per the sources, the company’s financial audit is to ascertain its fiscal health for ensuring that it is not cutting down on the safety standards because of its financial crisis.

“We will conduct the financial audit of Jet Airways from August 27. A similar audit of Air India has been completed,” the source said.

Based on a similar scenario, the financial audit of Air India was done as the company was compromising on the salaries of its employees. It also grounded a number of aircrafts because of issues regarding payments with vendors.

“The DGCA has also carried out a special audit of Air Deccan and will soon be conducting a similar exercise on Air Odisha, following orders from the aviation ministry,” the source said.

“The two carriers, which together have been mandated to fly on 84 routes under the government’s regional connectivity scheme, had recently cancelled a number of flights, citing shortage of pilots and technical glitch in their aircraft,” he added.