India May Cancel Kingfisher Airlines License

India may cancel Kingfisher Airlines' (KING.NS) license if safety norms and financial viability conditions are not met, Indian Aviation Minister Ajit Singh said.

The cash-strapped carrier, which is now operating 18 planes, has failed to stick to its recovery plan.

Kingfisher Airlines, which has a debt of $1.3 billion, is facing collapse as banks have refused to lend more for day-to-day operations. Massive cutbacks in flights have reduced revenues, leaving the carrier with little cash to pay its employees, airports and tax authorities.

Kingfisher Chairman Vijay Mallya will meet aviation regulator on Tuesday, March 20 or Wednesday, March 21 to discuss the recovery plans.