Ernakulam police have lodged an FIR against all 13 directors of Go First, the DGCA and two major online travel portals, accusing them of continuing ticket sales for nearly two weeks after the airline entered voluntary insolvency. The alleged fraud could have cost passengers up to ₹2,000 crore.
Key Takeaways
- FIR registered against 13 Go First directors, DGCA and two booking portals
- Alleged continuation of ticket sales after insolvency decision
- Potential passenger loss estimated as high as ₹2,000 crore
On July 9, Ernakulam police filed a First Information Report (FIR) under Sections 406, 415 and 420 of the Bharatiya Nyaya Sanhita, naming the entire Go First board, an official of the Directorate General of Civil Aviation (DGCA) and the online travel agencies Ease My Trip and ClearTrip. The complaint was filed by Yeshwant Shenoy, a disgruntled passenger, lawyer and aviation‑safety activist, who lost ₹64,000 after booking tickets on the day the airline submitted its insolvency plea.
Legal Timeline and Board Decisions
Go First’s board resolved on 28 April 2023 to seek voluntary insolvency, secured shareholder approval at an extraordinary general meeting on 30 April, and filed the petition on 2 May. Despite repeated letters from Shenoy urging the DGCA to halt ticket sales, the regulator only instructed the airline to stop selling tickets on 10 May, after Shenoy obtained a direction from the Kerala High Court. Shenoy alleges that the DGCA colluded with the airline, allowing sales to continue even though the insolvency process had already been approved.
Regulatory Inconsistency and Role of Booking Platforms
The complainant points out that DGCA’s 2014 directive to SpiceJet, which forced the carrier to restrict advance bookings during a financial crisis, was not applied to Go First. This apparent departure from precedent raises questions about regulatory consistency. Moreover, the involvement of Ease My Trip and ClearTrip—both of which facilitated the continued ticket bookings—has drawn scrutiny, suggesting that the platforms may have been complicit in the alleged fraud.
Financial Impact on Passengers
Go First’s chief executive reported that 4,118 flights were cancelled in April, affecting 77,500 passengers and leaving the airline with an estimated liability of roughly ₹900 crore. Shenoy contends that these figures are understated; because ticket sales persisted until 10 May without any regulatory restriction, the total amount collected from passengers could be as high as ₹2,000 crore. The discrepancy underscores the need for a thorough forensic audit of the airline’s accounts.
Implications for the Indian Aviation Sector
In April 2025, the National Company Law Appellate Tribunal (NCLAT) upheld the NCLT’s order to liquidate the Wadia‑group‑owned carrier. The present FIR adds a criminal dimension to the civil proceedings, potentially setting a precedent for holding airline boards and regulators personally accountable for consumer losses. Industry observers warn that a stringent verdict could compel other carriers to adopt more transparent insolvency protocols and strengthen consumer‑protection frameworks.