Kerala

After takeover by Tata, Air India’s assets may return to Kerala govt.

With the Tata Group completing its takeover of Air India on Thursday, some of the assets in the capital held by the airline, which was formerly a public sector undertaking, are set to come back under the State government’s control. According to information from Air India sources and Revenue department officials, a prime piece of property in Vellayambalam currently occupied by the Air India office and another one at Chakka, occupied by its subsidiary Air India Engineering Services Limited, could be back with the government soon.The State government had assigned the land in Vellayambalam, located opposite Keltron, to Air India in 1981. According to Air India sources, as per the conditions of the assignment, the property cannot be sold or leased or rented out to third parties. Some years ago, Air India had attempted to rent out a part of the building after the airline incurred huge losses, but the conditions in the agreement prevented it from doing so.

15 acres for free

The State government had also handed over for free 15 acres of land at Chakka near the Thiruvananthapuram international airport to Air India, which set up a Maintenance Repair Overhaul (MRO) facility there in 2011. It is currently being operated by its subsidiary Air India Engineering Services Limited. This land also is expected to come back to the State government.“The decision on the takeover of the property at Vellayambalam is currently pending with the government. The company has also expressed willingness to vacate the land at Chakka,” a revenue official told The Hindu .On Thursday, the Union government had transferred its shares in Air India, along with control and management of the airline which has been a public sector undertaking since 1953, to Tata Sons subsidiary, Talace.


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Printable version | May 19, 2022 8:56:54 am | https://www.thehindu.com/news/national/kerala/after-takeover-by-tata-air-indias-assets-may-return-to-kerala-govt/article38339511.ece