Delhi, March 18: The company managing Delhi’s international airport, primarily owned by GMR Airports, has taken legal action against the government over its decision to permit commercial flights from a nearby defence airfield. According to legal filings, the airport operator has raised concerns about potential financial setbacks resulting from this move.

Handling nearly 73.6 million passengers last year, Delhi’s airport remains one of India’s busiest, yet it recorded a $21 million loss due to increased government charges. With air travel booming across the country, the aviation sector has become highly competitive, attracting major players such as GMR and billionaire Gautam Adani. ‘Shameful Attitude’: 83-Year-Old Woman Denied a Wheelchair by Indigo Airlines at Delhi Airport.

DIAL has warned that Delhi airport could face serious financial challenges after the government allowed commercial flights from a nearby airbase. In a lawsuit filed on March 10, the airport operator argued that this move would make operations "economically and financially unviable." Gold Smuggling Busted at IGI Airport: Delhi Customs Seizes 172 gm Assorted Yellow Metal Cut Pieces and Chain Concealed in Dates at Indira Gandhi International Airport.

As first reported by Reuters, DIAL informed the Delhi High Court that the decision violated aviation regulations, which prohibit setting up a new airport within 150 km (90 miles) of an existing one unless there is sufficient passenger demand. Solicitor General Tushar Mehta told the court on Monday that Hindon Airport currently handles over 120 flights per week, while the judge directed the government to submit a written response to DIAL’s petition. India's civil aviation ministry has not responded to requests for comment. After news of the lawsuit broke, GMR Airports' shares dropped by 0.7%.

The Airports Authority of India (AAI), which runs Hindon Airport in Ghaziabad, also holds a stake in DIAL and has three board seats. DIAL claims this creates a conflict of interest since AAI has access to its confidential business information. The company is asking the court to overturn the government’s decision, pointing to reports that Air India Express began operating flights from Hindon in March.

(The above story first appeared on LatestLY on Mar 18, 2025 11:38 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).