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India's GoAir ordered to pay USD 3.5 million to MIRA

Civil Court of Maldives ordered GoAir to pay over USD 3.5 million in unpaid fees and taxes within 30 days.

Ameera Osmanagic
09 June 2024, MVT 20:46
[File] GoAir at Velana International Airport -- Photo: Mihaaru
Ameera Osmanagic
09 June 2024, MVT 20:46

GoAir (later operated as Go First), owned by Indian business conglomerate Wadia Group, must pay Maldives Inland Revenue Authority (MIRA) a total of USD 3,580,588.00 in unpaid airport service charge, departure tax and airport development fees, ordered the Maldivian Civil Court today.

The Indian budget airline based in Mumbai, Maharashtara, which ceased operations in 2023 and filed for bankruptcy previously flew to and from the Maldives.

During that time, it was required to pay a departure tax of USD 30 for every foreign passenger and USD 12 for every local passenger in economy class, USD 60 for every passenger in business class, USD 90 for every passenger in first class, and USD 120 per passenger flying private.

Additionally, it was also mandated to pay airport development fees of USD 25 per foreign passenger and USD 12 per local passenger in economy class, USD 60 for every passenger in business class, USD 90 for every passenger in first class, and USD 120 per passenger flying private.

However, the airline failed to make these payments from April 2022 until March 2023, showed the documents submitted by MIRA to the Civil Court in its claim to recover the payments.

In the default verdict issued by the court last Monday after the airline representatives failed to appear for the trial, GoAir was ordered to pay the amount due within 30 days from the verdict being issued.

The airline has the opportunity to appeal this verdict within 30 days of it being issued. However, if the verdict report is not handed over to the recipient within these 30 days, the appeal window will commence from the date of the report being delivered to the recipient, the verdict reads.

As an additional detail, the ruling highlighted that multiple attempts to deliver the notice to appear failed due to the airline's last recorded local addresses being out of service. As such, the court also issued a public announcement informing the airline to appear in court.

GoAir ceased its operation in the Maldives in March of 2023. At the time, the airline operated direct flights from Velana International Airport (VIA) to New Delhi, Mumbai and Bangalore.

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