Ambala District Commission Holds Air India Liable For Failure To Refund Booking Amount For Cancelled Flight Due To COVID-19

Brief Facts:

The Complainants planned a trip to Chicago, USA in May 2021. They booked two flight tickets online for travel from New Delhi to Chicago on May 19, 2021, and returned to New Delhi on July 1, 2021, paying Rs.1,43,611/- to Air India. They received a booking reference number and E-ticket numbers for the said booking. Additionally, they obtained visas for travel from the embassy. In April 2021, the general public became aware that the coronavirus had begun its second wave in India. The Complainants learned that the Government of India suspended all national and international flights. Concerned about the flight suspension and the severity of the virus, the Complainants inquired about their flight status via email, especially after reading that flights would be suspended until May 31, 2021.

Air India responded to their email, requesting additional details, which the Complainants provided through multiple emails. Despite various requests and reminder emails from the Complainants, Air India eventually stated that the tickets were cancelled due to the flight cancellations. The Complainants continued to write to Air India, requesting a refund of the booking amount, but the airline did not respond to their emails and calls. In June 2021, Air India refunded Rs.70,021/- to the Complainants' account for the cancelled flights, whereas the actual amount paid was Rs.1,43,611/-. The complainants sent another email to Air India pointing out the discrepancy in the refund amount and requesting a full refund. Despite several requests, the Complainants did not receive any resolution. Feeling aggrieved, the Complainant filed a consumer complaint in the District Consumer Disputes Redressal Commission, Ambala, Haryana (“District Commission”) against Air India.

Upon notice, Air India argued that the complainants did not approach the Commission with clean intentions. It contended that the Complainants failed to disclose any cause of action against the airline. It stated that both tickets were refunded at Rs. 70,021/- each. It argued that the Complainants did not produce their bank statements despite multiple requests. It further claimed that the full amount for both tickets was refunded by Air India on July 1, 2021, but the Complainants failed to provide their bank statements to confirm this.

Observations by the District Commission:

The District Commission noted that Air India argued it refunded Rs.70,021/- twice, accompanied by documents from its computer dashboard showing entries labelled "WS-Web Sales Refunds 70021". However, despite several opportunities, Air India failed to formally submit these documents as evidence before the District Commission.

The District Commission noted that while Rs.70,021/- was credited, no additional amount was credited as claimed by Air India. This lack of documentary evidence supporting Air India's assertion that the entire amount was refunded undermined its credibility. Therefore, the District Commission found no reason to doubt the Complainants' contention that only Rs.70,021/- was refunded, not the full Rs.1,43,611/-.

Consequently, the District Commission held that Air India failed to refund the balance amount of Rs.73,590/- to the Complainants. Therefore, it held Air India liable for deficiency in services for falling short of its service obligations. Accordingly, the District Commission directed Air India to refund the balance amount of Rs.73,590/- to the Complainants along with 6% interest. It was also directed to pay Rs.5,000/- as compensation for the mental agony and physical harassment endured by the Complainants and Rs.3,000/- for litigation expenses.

Case Title: Ganesh Dass Nagpal and Anr. vs Air India and Anr.

Case Number: 30 of 2022

Date of decision: 20.06.2024