Kerala High Court directs DGCA to implement law of agency commissions within a month

Kerala High Court while taking up the ‘Contempt of Court’ case against Directorate General of Civil Aviation (DGCA) at the instance of IATA Agents Association of India (IAAI) recently, expressed dismay over indiscriminate delay in enforcing law by the Statutory Authority and in reporting compliance to the Honourable Court in response to Asst. Solicitor General of India representing DGCA plea for two months’ time to respond.

IAAI’s counsel presented before the Court that no visible action is taken by DGCA to implement DGCA’s ruling that mandates airlines to pay Commission to travel agents and that the request for more time is an attempt to white wash inaction. According to a communiqué from IAAI, the Hon. High Court directed the respondent DGCA to ‘execute and implement’ the law within one month and to report compliance by April 1, 201. The Hon. Court admitted that no further extension would be granted under any circumstances.

A writ petition was filed by IAAI against zero commission airlines on June 15, 2009 in the Kerala High Court.