AviationGovernment steps in with funds to keep national carrier in the air.

Carry on pumping: Air India resolves fuel threat

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Air India desperately needs cash to pay its suppliers.
Air India desperately needs cash to pay its suppliers.
A threat by Indian Oil Corp to stop jet fuel supplies to Air India at some airports has been resolved – at least for the time being - after an intervention from the country’s aviation ministry.

The state-run refiner threatened to stop supplies at six airports, including Pune and Chandigarh, due to payment defaults by the airline.

The issue was later sorted after a meeting with aviation ministry officials, said an Air India spokesman.

The cash-strapped airline has been struggling to make payments while awaiting more funds from the government.

Aviation secretary R N Choubey told The Times of India, "All these issues are being taken care of. AI will get funds to meet its requirements.”

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