IndiGo shares declined sharply by over 8% on Monday as the market reacted to heightened regulatory scrutiny following the airline’s recent large-scale operational breakdown. The sell-off came after the Directorate General of Civil Aviation granted IndiGo CEO Pieter Elbers an additional 24 hours to file his response to the show-cause notice issued over the nationwide flight disruptions that affected thousands of passengers.
The extension, granted on Sunday at Elbers’ request, was accompanied by a firm warning from the regulator. The DGCA stated that failure to submit a complete and detailed reply by 6 pm on Monday would compel the authority to proceed ex parte. The aviation regulator also emphasised that no further exemptions will be provided and confirmed that it continues to monitor IndiGo’s operations closely as flight schedules gradually stabilise.
The show-cause notice was issued on Saturday after the airline reported more than 1,000 flight cancellations in a single day — the highest recorded by any Indian carrier. The episode has raised concerns over IndiGo’s operational resilience and crisis management, prompting both regulatory intervention and investor caution.
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