The central government informed the Delhi High Court on Thursday, January 22, 2026, that it has directed IndiGo to dismiss its Senior Vice President following widespread flight cancellations in December 2025. This directive is a consequence of the aviation crisis that severely disrupted travel across major Indian airports.
The government's statement was made during a hearing regarding a Public Interest Litigation (PIL) seeking a judicial inquiry into the flight cancellations, as well as compensation and support for passengers who were left stranded. The court is scheduled to further address the matter on February 25.
The Directorate General of Civil Aviation (DGCA) communicated to the Delhi High Court that its investigation revealed the December crisis stemmed from "over-optimisation of operations, inadequate regulatory preparedness, along with deficiencies in system software support and shortcomings in management structure".
In response to these findings, the DGCA imposed a penalty of Rs 22.2 crore on IndiGo. In addition to directing the dismissal of the Senior Vice President, the DGCA issued warnings to six other senior executives, including Chief Operating Officer (COO) Isidre Porqueras Orea, the deputy head of flight operations, and a resource analyst. The aviation regulator has also instructed IndiGo to deposit ₹50 crore as bank guarantees, which will be refunded as the airline implements necessary operational corrections.
The DGCA's penalty of Rs 22.2 crore includes a one-time systemic penalty of Rs 1.8 crore, and a daily penalty of Rs 30 lakh for the airline's non-compliance over a 68-day period. The regulator had ordered the immediate removal of Jason Herter, Senior Vice President of the Operational Control Centre, citing failures in systemic planning and the delayed implementation of new pilot rest and duty norms that began on November 1, 2025.
The four-member inquiry committee discovered that IndiGo's management had an "overriding focus" on maximizing the utilization of crew and aircraft, leaving minimal buffer in the airline's roster. The DGCA found that crew schedules were designed to reach maximum duty periods, heavily relying on "dead-heading" and "tail swaps," which compromised operational resilience. The investigation also revealed that IndiGo was short 65 captains needed to comply with the new safety regulations.
IndiGo has launched a dedicated website for passengers to apply for compensation. The airline informed the Delhi High Court that refunds for cancelled tickets have been processed and compensation for stranded passengers will be expedited. The court has requested IndiGo to submit an affidavit within two weeks detailing the compensation plan for stranded passengers.
IndiGo reported a 75% drop in quarterly profit, impacted by a $63 million hit due to the mass cancellations in December. The Federation of Indian Pilots (FIP) has criticized the DGCA for imposing a "very meager" penalty, stating that passenger and aircraft safety cannot be compromised. The FIP cited the example of the US Department of Transportation, which imposed a $140 million penalty on Southwest Airlines for consumer protection law violations.
