In a major admonition to State-run Air India, Delhi High Court has directed national carrier to present its reasons behind its decision to shift domestic ticket-booking business “exclusively” on Travelport, and abdruptly discontinuing using the services of global ticket distribution firm Amadeus.
In it’s order dated July 25 the High Court ruled, “Time is sought to file counter affidavit. Let the counter affidavit be filed within four weeks. Rejoinder, if any be filed within four weeks thereafter”. The HC is slated to hear the case on September 26.
The court has given Air India four weeks’ time to respond to the judgement with relevant documents.
In October last year, Travelport had announced that it had “won competitive tender process undertaken by Air India for the sole provision of distribution of its domestic flight content in the airline’s home market”.
The national carrier had decided to shift to Travelport despite several senior officials raising objections against the move. Joining hands with Travelport meant giving access to details of AI’s flyers to Interglobe Technologies Quotient, a strategic business unit of InterGlobe Enterprises which is the parent company of IndiGo, India’s largest airline by market share and Air India’s biggest competitor.
GDS is a globally connected computerised reservation network offering a one-point access to airline bookings, hotel reservations as well associated travel-related areas including car rentals.
A GDS also connects travel agents and other such service providers with large corporations. Such networks are usually operated in partnership with, either through joint ventures or as supporting business partners, major airlines, hotel chains or transnational travel service providers.
Taking strong stance against the allocation made to Travel Port , the Punjab and Haryana High Court in January noted that under Article 12, the national carrier was “duty bound” to invite bids before giving “exclusive rights to any agency for GDS”.
“It is further contended that Air India was duty bound to call bids in the form of tenders and that Amadeus could not be arbitrarily excluded from sale of tickets for domestic flights,” it had said.