Foreign airlines under regulator's scanner over agents fee

New Delhi, Oct 20 : The aviation regulator, Directorate General of Civil Aviation (DGCA), is investigating whether foreign airlines that refused to pay commission to travel agents have violated its norms, a senior official said Tuesday.

"We are looking into the matter and will find whether the foreign carriers have flouted norms," said the DGCA official, who did not wish to be named.

Travel agents across the country have strongly opposed the foreign airlines' decision to pay zero-commission and introduce a transaction fee-based model, where the traveller paid a fee of Rs.250 onwards and as high as Rs.5,000 per ticket to the ticketing agent.

They complained that their earnings would be reduced under the fee-based regime.

DGCA has asked the foreign airlines to explain their views in this matter.

The regulator is soon expected to come up with its findings after the Kerala High Court asked it to look into the matter and see if the airlines' decision was in accordance with the law.

"The proposal for reversing fee-based system to commission system is before the DGCA. We expect an early decision to this issue," Rajinder Rai, president of the Travel Agents Association of India (TAAI), told IANS.

Over 85 percent air travellers in India book their tickets through travel agents. Bookings for international flights largely is through travel agents.

--IANS