Airport Authority says Air India owes Rs 1,200 cr

Mumbai: State-run Air India owes the Airports Authority of India (AAI) 12 billion rupees while debt-laden private carrier Kingfisher Airlines owes 2.35 billion rupees, AAI Chairman VP Agrawal said.

"The sector is under a lot of stress, and we can't take a unilateral decision on one airline. Grounding flights (of Kingfisher) will impact revenues and reduce connectivity further," he said.

AAI is responsible for managing the civil aviation infrastructure in the country.