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India is one of the fastest growing aviation markets in the world. The Airport Authority of
India (AAI) manages a total of 127 airports in the country, which include 13 international
airports, 7 custom airports, 80 domestic airports and 28 civil enclaves. There are over 450
airports and 1091 registered aircrafts in the country. The genesis of civil aviation in India
goes back to December 1912 when the first domestic air route between Karachi and Delhi
became operational. In the early fifties, all airlines operating in the country were merged into
either Indian Airlines or Air India. And, by virtue of the Air Corporations Act 1953, this
monopoly continued for the next forty years.

In 1990s, aviation industry in India saw some important changes. The Air Corporations
Act was abolished to end the monopoly of the public sector and private airlines were
reintroduced. With the liberalization of the Indian aviation sector, the industry has witnessed
a transformation with the entry of the privately owned full service airlines and low cost
carriers. In 2006, the private carriers accounted for around 75% share of the domestic
aviation market. The sector has also seen a significant increase in the number of domestic air
travel passengers. Some of the factors that have resulted in higher demand for air transport
in India include the growing middle class and their purchasing power, low airfares offered
by low cost carriers like Air Deccan, the growth of the tourism industry in India, increasing
outbound travel from India, etc.

Increasing liberalization and deregulation has led to an increase in the number of private
players. The aviation industry comprises of three types of players:

j? ÿull cost carriers


j? ow cost carriers (CC)
j? ther start-up airlines

It is a phase of rapid growth in the industry with estimated growth of domestic passenger
segment at 50% per annum... This has led to intense price competition due to which full
service carriers like Jet Airways, Indian Airlines and Air Sahara are giving discounts of up to
60-70% for certain routes to match the new entrants' ticket prices. The customer has thus
gained enormously as a result of liberalization of the sector.

1.? The Indian aviation sector can be broadly divided into the following main categories:

1. Scheduled air transport service, which includes domestic and international


airlines.
2. Non-scheduled air transport service, which includes charter operators and air taxi
operators.
3. Air cargo service, which includes air transportation of cargo and mail.
Scheduled air transport service: It is an air transport service undertaken between two
or more places and operated according to a published timetable. It includes:

1.? Domestic airlines, which provide scheduled flights within India and to select
international destinations. Air Deccan, Spice Jet, Kingfisher Airline and
Indigo are some of the domestic players in the industry.
2.? International airlines, which operate scheduled international air services to
and from India.

Non-scheduled air transport service: It is an air transport service other than the
scheduled one and may be on charter basis and/or non-scheduled basis. The operator is not
permitted to publish time schedule and issue tickets to passengers.

Air cargo services: It is an air transportation of cargo and mail. It may be on scheduled
or non-scheduled basis. These operations are to destinations within India. ÿor operation
outside India, the operator has to take specific permission of Directorate General of Civil
Aviation demonstrating his capacity for conducting such an operation.

At present, there are 2 scheduled private airlines (Jet Airways and Air Sahara), which
provide regular domestic air services along with Indian Airlines. In addition there are 47
non-scheduled operators providing air-taxi/non-scheduled air transport services.

Apart from this, the players in aviation industry can be categorized in three groups:

j? ·ublic players
j? ·rivate player
j? Start up players

There are three public players: Air India, Indian Airlines and Alliance Air. The private
players include Jet Airways, Air Sahara, Kingfisher Airlines, Spice Jet, Air Deccan and
many more. The starts up players are those planning to enter the markets. Some of them are
mega Air, Magic Air, ·remier Star Air and MD Airlines









AVcAc AWS:


Aviation law is the branch of law that concerns flight, air travel, and associated legal and
business concerns. Some of its area of concern overlaps that of admiralty law and in many
cases, aviation law is considered a matter of international law due to the nature of air travel.
However, the business aspects of airlines and their regulation also fall under aviation law.
The monopoly of public sector air carriers was ended by repealing the Air Corporation Act,
1953 on March 1, 1994.

The main statutes currently applicable to the sector are The Aircraft Act, 1934, The
Aircraft ules, 1937, and The Air Corporations (Transfer of Undertakings and epeal) Act,
1994.

The regulatory and development functions are looked after by the Ministry of Civil
Aviation and the offices of the Directorate General of Civil Aviation (DGCA).

The Ministry of Civil Aviation is responsible for the formulation of national policies and
programmes for development and regulation of civil aviation and for devising and
implementing schemes for the orderly growth and expansion of civil air transport. Its
functions also extend to overseeing the provision of airport facilities, air traffic services, and
carriage of passengers and goods by air.

Apart from the public sector undertakings and the DGCA, the Ministry also controls the
Bureau of Civil Aviation Security.

The DGCA is responsible for :

j? egulation of air transport services to, from and within India;


j? egistration of civil aircraft in India;
j? ÿormulation of standards of airworthiness for civil aircraft registered in India and
grant of certificate of airworthiness;
j? icensing of pilots, aircraft maintenance engineers and flight engineers;
j? icensing of aerodromes in India;
j? Coordinating regulatory functions with the International Civil Aviation rganisation.

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AAAVcAc  Vs c c cAS

Writ tition ivil  o

The petitioner has filed the present writ petition seeking mandamus against the
respondent no.1 to debar respondent no.2 permanently under ule 39-A (2) of the Air-Craft
ules, 1937 from holding the ·ilot license for violation of statutory Civil Aviation
equirement (hereinafter referred to CA ) dated 01.9.2005 for not giving the employer
namely the petitioner, six months notice before leaving its services.

The Court went into the question of the interpretation of ule 39A of the Air-Craft ules
1937 because the said rule also uses the word that the Central Government µmay¶ debar a
person permanently or temporarily from holding any license or rating mentioned in ule 38
if in its opinion it is necessary to do so in the public interest meaning thereby even if an
individual pilot may have been actually found to be violating CA by not giving six months
notice then in such contingency, the Central Government at its discretion may debar the pilot
permanently or temporarily from holding the license. It is not mandatory that if such an
infraction is shown that the Central Government must debar such pilot but that issue of
debarring the respondent no.2 does not arise in the instant case because according to the
view of this Court, the CA itself would not be applicable to the respondent no.2 as he is not
a regular employee of the petitioner.

ÿor the reasons mentioned above, the court found that no mandamus can be issued to the
respondent no.1 to debar the respondent no.2 permanently under ule 39A(2) of the Air-
Craft ules 1937 from holding pilot license for violation of CA dated 1.9.2005. Accordingly
the writ petition is without any merit and the same was dismissed.


VA SAS

Aviation law is concerned with flight, air travel and associated legal and business
concerns. Some of its area of concern overlaps with that of admiralty law. In many cases,
aviation law is considered a matter of international law due to the nature of air travel.
However, the business aspects of airlines and their regulation also fall under aviation law.
In the international realm, the International Civil Aviation Organisation (ICAO) provides
general rules and mediates international concerns regarding aviation law. The ICAO is a
specialised agency of the United Nations

 
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?  An Act to provide for the establishment of Air
Corporations, to facilitate the acquisition by the Air Corporations of undertakings
belonging to certain existing air companies and generally to make further and better
provisions for the operation of air transport services.

WHEREAS it is expedient to make better provision for the control of the manufacture,
possession, use, operation, sale, import and export of aircraft; it is hereby enacted as
follows:-

In this act the definitions related to airline sector has been also dealt with. According to
this act:

"aircraft" means any machine which can derive support in the atmosphere from reactions
of the air, other than reactions of the air against the earth's surface] and includes balloons,
whether fixed or free, airships, kites, gliders and flying machines;

" aerodrome" means any definite or limited ground or water area intended to be used,
either wholly or in part, for the landing or departure of aircraft, and includes all buildings,
sheds, vessels, piers and other structures thereon or appertaining thereto;

"Aerodrome reference point", in relation to any aerodrome, means a designated point


established in the horizontal plane at or near the geometric centres of that part of the
aerodrome reserved for the departure or landing of aircraft;

"Import" means bringing into India; and "export" means taking out of India.

·owers of central government has also been explained through this act regarding
exempting of certain aircraft, to make rules to implement convention of 1944 etc.

The Director General of Civil Aviation or any other officer specially empowered in this
behalf by the Central Government shall perform the safety oversight functions in respect of
matters specified in this Act or the rules made there under.
The central government is also empowered to take decisions in time of emergency as it
may think fit. The central government is also empowered to take steps for the
investigations of accidents arising in or over India or of any aircraft registered in India.

The central government is also empowered to make[rules for the prevention of danger
arising to the public health by the introduction or spread of any infectious or contagious
disease from aircraft arriving at or being at any aerodrome and for the prevention of the
conveyance of infection or contagion by means of any aircraft leaving an aerodrome and
in particular and without prejudice to the generality of this provision may make, with
respect to aircraft and aerodromes or any specified aerodrome.

If the Central Government is satisfied that India or any part thereof is visited by or
threatened with an outbreak of any dangerous epidemic disease, and that the ordinary
provisions of the law for the time being in force are insufficient for the prevention of
danger arising to the public health through the introduction or spread of the disease by
the agency of aircraft, the Central Government may take such measures as it deems
necessary to prevent such danger.

The Central Government is empowered to prohibit or regulate construction of buildings,


planting of trees etc., if the Central Government is of opinion that it is necessary or
expedient so to do for the safety of aircraft operations.

The arbitrator appointed under section 9B, while holding arbitration proceedings under
this Act, shall have all the powers of a civil court while trying a suit under the Code of Civil
·rocedure, 1908 in respect of the following matters, namely: -

(a) Summoning and enforcing the attendance of any person and examining him on oath;

(b) Requiring the discovery and production of any document;

(c) Reception of evidence on affidavits;

(d) Requisitioning any public record from any court or office;

(e) Issuing commissions for examination of witnesses.

This act also lays down certain penalty if it finds anybody failing to comply with the rules
and regulations lay down.

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These rules may be called the Aircraft ules, 1937.They extend to the whole of India and
apply also (unless the contrary intention appears)-
(a) To, and to persons on, aircraft registered in India wherever they may be, expect cases
falling under sub-rule (4);
(b) To, and to persons on, all aircraft for the time being in or over India:
·rovided that in the case of aircraft registered in a country other than India, the
regulations of that country relating to registration, license of personnel, airworthiness and
log books shall apply in place of the provisions contained in ·arts IV, V, VI and IX of these
ules :
·rovided further that the foregoing proviso shall not apply to aircraft registered in any
country whose regulations are not based on standards at least equal to the minimum
standards established from time to time under the Convention on International Civil Aviation
opened for signature at Chicago on the 7th December, 1944, and the cases falling under sub-
rule(3).
(3) These rules shall also apply to aircraft registered in a contracting State and operated
pursuant to an agreement for the lease, charter or interchange of the aircraft or any similar
arrangement by an operator who has his principal place of business, or, if he has no such
place of business, his permanent residence in India, provided that an agreement has been
reached between the government of the State of registry of the Aircraft and the Government
of India in regard to transfer of functions and duties pursuant to Article 83 of the convention.
The extent of application of these rules to such aircraft shall be as per the agreement between
the two Governments.
(4) These rules shall not apply to aircraft registered in India and operated pursuant to an
agreement for the lease, charter or interchange of aircraft or any similar arrangement by an
operator who has his principal place of business or if he has no such place of business, his
permanent residence in a contracting State, provided that an agreement has been reached
between the Government of India and the Government of that contracting state in regard to
transfer of functions and duties pursuant to Article 83 of the Convention. The extent of non-
application of these rules to such aircraft shall be as per the agreement between the two
Governments.

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An Act to provide for the transfer and vesting of the undertakings of Indian Airlines and
Air India respectively to and in the companies formed and registered as Indian Airlines
Limited and Air India Limited and for matters connected therewith or incidental thereto
and also to repeal the Air Corporations Act., 1953.
The undertaking of a corporation which is transferred to, and which vests in a company
under section 3 shall be deemed to include all assets, rights powers, authorities and
privileges and all properties, movable and immovable, real or personal, corporeal or
incorporeal, in possession or reservation, present or contingent, of whatever nature and
wheresoever¶s situate, including lands works, workshops, aircraft, cash balances, capital
reserves, reserve funds, investments, tenancies, leases and book debts and all other rights
and interests arising out of such property as were immediately before the appointed day in
the ownership, possession or power of that corporation in relation to its undertaking,
whether within or outside India, all books of account and documents relating thereto and
shall also be deemed to include all borrowings, liabilities and obligations of whatever kind
then subsisting of that corporation in relation to its undertaking.

Any proceeding or cause of action pending or existing immediately before the appointed
day by or against a corporation in relation to its undertaking may, as from that day, be
continued and enforced by or against the company in which it has vested by virtue of this Act.
As it might have been enforced by or against that corporation if this Act. Had not been
passed, and shall cease to be enforceable by or against that corporation. With effect from the
appointed day, all licenses, permits, quotas and exemptions granted to a corporation in
connection with the affairs and business of that corporation under any law for the time being
in force shall be deemed to have been granted to the company in which the undertaking of
that corporation has vested.


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cA:

A bill to provide for the establishment of an Authority for the management of aerodromes
and civil enclaves whereat domestic air transport services are operated or are intended to be
operated and of all communication stations and for matters connected therewith.

With effect from the commencement of this Act, the Central Government shall constitute
an authority to be called the National Airports Authority. The Authority shall be a body
corporate by the name aforesaid having perpetual succession and a common seal, with
power, subject to the provisions of this Act, to acquire, hold and dispose of property both
movable and immovable, and to contract and shall by the said name sue and be sued.

A c
cAc  A  AM  ! :  An Act to give effect to the
Convention for the Suppression of Unlawful Seizure of Aircraft and for matters connected
therewith. Whereas a Convention for the Suppression of Unlawful Seizure of Aircraft was, on
the 16th day of December, 1970, signed at The Hague; And whereas it is expedient that India
should accede to the said Convention and make provisions for giving effect thereto and for
matters connected there with.

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An Act to give effect to the Convention for the unification of certain rules relating to
international carriage by air signed at Warsaw on the 12th day of October, 1929 and to
the said Convention as amended by the Hague ·rotocol on the 28th day of Se ptember,
1955 and to make provision for applying the rules contained in the said Convention in its
original form and in the amended form (subject to exceptions, adaptations and

modifications) to non-international carriage by air and for matters connected t herewith.

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Apart from major policy decision about the merger of Indian Airlines and Air India, the
policy lays the roadmap for improving regional connectivity by offering special concessions
to turboprop aircraft operating to non-metro stations by allowing them to land and park their
aircraft free of cost. The setting up of a National Cargo Centre at Nagpur also features in the
draft policy.
ther steps like allowing private domestic carriers to fly abroad have already been taken,
but are still mentioned in the document. Sources said the government will continue for the
moment to reserve rights for national carriers in the Gulf sector.
Besides this, Civil Aviation Minister ·raful ·atel said that he would get the Kaw
committee report on review and restructuring of Directorate General of Civil Aviation
(DGCA) be examined and µµtry to get it implemented in the best possible way¶¶.
Set up in August 2005 under former secretary (Civil Aviation) M K Kaw to review the
role and functions of DGCA, the panel submitted its report today recommending the Centre
to finalize its aviation policy and give it a statutory basis in the form of a Civil Aviation Act.
The Committee has further recommended against converting DGCA into an authority
saying it could make it commercial in outlook. The setting up for National Civil Aviation
Advisory Committee to lie down and review policy has also been proposed.


 AAMW

To keep a check or control the minute things for aviation, regulatory framework has been
developed, these are:

1.? DGCA
2.? AAI
3.? MINIST  ÿ CIVI AVIATI N
4.? BCA SAÿT 1976.
5.? A A 2008
6.? GA ÿ AMW K

ir"torat nral of ivil Aviation: The Directorate General of Civil


Aviation (DGCA) is the Indian governmental regulatory body for civil aviation under
the Ministry of Civil Aviation. This directorate investigates aviation accidents and incidents.
It is headquartered at Safdarjung Airport in New Delhi.
DGCA has fourteen egional Airworthiness ffices ( A ) at Delhi, Mumbai, Chennai,
Kolkata, Bangalore, Hyderabad, Thiruvananthapuram, Bhopal, ucknow, ·atna,
Bhubaneshwar, Kanpur, Guwahati and ·atiala. It has also five egional Air Safety offices
located at Delhi, Mumbai, Chennai, Kolkata and Hyderabad. It has a egional esearch and
Development ffice located at Bangalore and the Gliding Centre at ·une.

Ac A
cc cA:The Airports Authority of India (AAI) was formed
on 1st April 1995 by merging the International Airports Authority of India and the National
Airports Authority with a view to accelerate the integrated development, expansion and
modernization of the operational, terminal and cargo facilities at the airports in the country
conforming to international standards.


Mc cScVcAVcAc : The Ministry of Civil Aviation is the nodal Ministry


responsible for the formulation of national policies and programmers for development and
regulation of Civil Aviation and for devising and implementing schemes for the orderly
growth and expansion of civil air transport. Its functions also extend to overseeing airport
facilities, air traffic services and carriage of passengers and goods by air. The Ministry also
administers implementation of the Aircraft Act, 1934 and is administratively responsible for
the Commission of ailways Safety.

The ministry is under the charge of a Minister of State for Civil Aviation and ·raful ·atel is
the present incumbent. The Secretary is the head of the Ministry and is assisted by one
Additional Secretary & ÿinancial Adviser, three Joint Secretaries, seven officers of the level
of Director / Deputy Secretary / ÿinancial Controller and ten officers of the level of Under
Secretary. It is located at ajiv Gandhi Bhavan, Safdarjung Airport, New Delhi.

# $ra$ofivilAviationS"$rity AS : It is an attached office of the Ministry of


Civil Aviation. The Bureau is responsible for laying down the standards of pre-embarkation
security and anti-sabotage measures in respect of civil flights in India. Actual enforcement on
the ground is entrusted to the respective State/ UT ·olice. fficers of the Bureau visit
airports from time to time to monitor the enforcement.

The BCAS has its Headquarters in New Delhi. It is headed by an fficer of the rank of
Director General of ·olice designated as Commissioner of Security, Civil Aviation (C SCA).
It has 4 (ÿour) egional ffices in Delhi, Calcutta, Mumbai and Chennai each under a Dy.
Commissioner of Security (Civil Aviation).

AA:

A A Act 2008 passed in December 2008. A A as a sector regulator basically involved


in tariff setting for aeronautical services provided by airports. A A also incorporates the
setting up of an Appellate tribunal for adjudication of disputes. Stated under section 17 of the
Act that A A will not adjudicate any dispute which falls within the purview of the
Competition Act 2002.

S Sc S:

The aviation industry in India, through Air India (as well as the private airlines), is a
gleaming example of what the lack of corporate governance can do to a business it can result
in a faulty business strategy.

Aviation is, by its very nature, a critical part of the infrastructure of the country and has
important ramifications for the development of tourism and trade, the opening up of
inaccessible areas of the country and for providing stimulus to business activity and
economic growth.

Until less than a decade ago, all aspects of aviation were firmly controlled by the
Government. In the early fifties, all airlines operating in the country were merged into either
Indian Airlines or Air India and, by virtue of the Air Corporations Act, 1953; this monopoly
was perpetuated for the next forty years. The Directorate General of Civil Aviation controlled
every aspect of flying including granting flying licenses, pilots, certifying aircrafts for flight
and issuing all rules and procedures governing Indian airports and airspace. ÿinally, the
Airports Authority of India was entrusted with the responsibility of managing all national and
international air ports and administering every aspect of air transport operation through the
Air Traffic Control.

Based on the above, we would recommend certain suggestions:

1.? ÿirst, a large part of the available traffic entitlements to be utilized by the Indian
designated carriers.
2.? Second, steps to be taken for a progressive increase in the capacity provided by
foreign carriers to meet the market demand.
3.? Third, because, due to the non-utilization of designated rights, there is a substantial
outlay of foreign exchange and loss of business to Indian nationals. Therefore there
should be full utilization of designated rights.
4.? There is a substantial outgo of foreign exchange and loss of business to our own
nationals on account of the non- utilization of designated rights. Hence the resources
should be fully utilized.
5.? India has in place necessary organization and regulatory system to ensure protection
of aviation from unlawful interference.
6.? Setting up of an Indian Civil Aviation Service.
7.? Sufficient budget, administrative and financial autonomy for DGCA.
8.? A national training policy to be implemented.
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