IndiGo Airlines Crisis: Irregularities in Indigo Airlines flights continued for the eighth day. On Tuesday, the airline canceled a total of 422 flights from six major airports of the country. According to PTI report, out of these canceled flights, 152 flights were canceled at Delhi airport alone and 121 flights were canceled at Bengaluru. 58 flights in Hyderabad, 41 in Mumbai and more than 50 in Chennai were cancelled. Due to continuous flight cancellations, there was a lot of trouble and confusion among the passengers.

In view of the continuous disruption in flights, the government has intervened. The Civil Aviation Ministry has ordered a 5% reduction in IndiGo’s flight services during the winter programme. Along with this, instructions have also been given that if the airline does not follow the approved schedule, its slots will be made available to other airlines. The government says that Indigo has failed to handle its expanded schedule, so it became necessary to take this step.

Indigo – the country’s largest domestic airline

Gurugram-based Indigo Airlines is the largest airline in India’s domestic aviation sector with more than 65% market share. On Monday, the company had canceled more than 560 flights from six airports. DGCA also informed that the airline has increased its flights by about 9.66% compared to the winter schedule 2024, while an increase of 6.05% has been made compared to the summer schedule 2025. But the company was not able to handle this expansion smoothly, resulting in massive flight cancellations.

IndiGo CEO Peter Elbers said in a video statement released on Tuesday that the company’s operations are now slowly getting back on track. He said that full ticket fees are being refunded to passengers of canceled or delayed flights and refunds have also been sent to lakhs of customers. However, he did not give any clear information about the compensation, whereas as per the rules, if the information is not given within two weeks, the airlines have to compulsorily compensate the passengers.

Passenger problems and luggage situation

Peter Albers also said that most of the luggage stuck at airports has been delivered to customers’ homes. The team is working to send the bags that are still left soon. The company says that in the first phase their aim was to take the stranded passengers to their destination and after that the refund process was started.

According to the CEO, while the company was able to operate only 700 flights on December 5, the number of flights gradually increased in the following days to 1,500 on December 6, 1,650 on December 7, 1,800 on December 8 and more than 1,800 on December 9. By Monday, IndiGo was operating flights to all 138 destinations in its network and on-time performance was also returning to normal.

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IndiGo Crisis: Due to the crisis on the country’s largest airline IndiGo, the government was forced to take action. Amidst the continuous cancellation of flights, increased fare prices and problems faced by passengers, the government even issued a show cause notice and fixed the fare cap. Meanwhile, rating agency Moody’s said that Indigo Crisis may have a major negative impact on the company in the coming days.

Negative impact on Indigo

The recent widespread disruption in flights may cause huge financial losses for the company due to revenue loss, fines and other compensation due to cancellation of flights. Moody’s Ratings said in a report released on Monday that the airline was not able to plan effectively for the new aviation rules implemented more than a year ago, due to which it is now suffering the consequences.

According to the rating agency, this situation is also negative for the reputation of Indigo. The chaos worsened amid the extremely busy winter flying season. The process of flight cancellations that started on December 2 reached its peak on December 5, when IndiGo had to cancel more than 1,600 flights. The airline has not yet been able to fully restore normal operations and more than 500 flights were canceled on Monday as well.

Damage to company reputation

Rating agency Moody’s further said that these irregularities could damage the company’s reputation, as IndiGo may face revenue loss, refunds, compensation to affected passengers and possible penalties by the DGCA. The agency cited the airline’s major lapses in planning, monitoring and resource management as the main reason for this, even though the industry was informed about the new rules long ago.

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