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The Patel effect: CAG nails the reasons for Air India’s failure

The report of the Comptroller and Auditor General (CAG) on Air India confirms that Praful Patel presided over its demise in the six years he was Civil Aviation Minister. The minister is not specifically named in the report, but there’s little doubt that it was his stewardship that did Air India in. At last count, Air India had a working capital loan of Rs 21,200 crore, long-terms loans for aircraft purchases of Rs 22,000 crore and accumulated losses of over Rs 20,320 crore. Losses in 2010-11 are reported to be in the range of Rs 7,000 crore.

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