India slaps record $2.45m fine on IndiGo over mass flight cancellations

India’s aviation regulator, the Directorate General of Civil Aviation (DGCA), has imposed a record penalty of $2.45 million (Rs 22.20 crore) on IndiGo following a massive operational meltdown that stranded over 300,000 passengers last month.

The fine follows a high-level inquiry into the cancellation of more than 2,500 flights and nearly 1,900 delays between December 3 and 5, 2025. The probe found that the airline prioritised commercial growth over operational resilience, failing to properly implement new pilot rest and duty rules.

Beyond the financial penalty, the DGCA took the unprecedented step of directing IndiGo to remove Jason Herter, Senior Vice President of the Operations Control Centre, from his duties. Formal warnings were also issued to CEO Pieter Elbers—for "inadequate oversight"—and COO Isidre Porqueras.

IndiGo has been ordered to furnish a $5.51 million (Rs 50 crore) bank guarantee to ensure long-term systemic corrections. The airline, which holds a 65% market share in India, acknowledged the planning gaps and committed to taking "appropriate measures."

Meanwhile, the Ministry of Civil Aviation has ordered an internal inquiry into the DGCA’s own role in allowing the winter schedule expansion despite crew shortages.