March 7, 2012 8:19 PM

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IATA suspends Kingfisher for not clearing dues

The global airlines body, International Air Transport Association, IATA, today suspended the Kingfisher Airline for not clearing its dues. IATA's Assistant Director (Corporate Communications) Albert Tjoeng said in a statement from Singapore that the airline was suspended as it did not settle its IATA Clearing House, ICH, account within the stipulated deadline. He said, Kingfisher's participation in the ICH will be reinstated after the airline fulfills the ICH requirements.

Meanwhile, the ailing carrier said payments would be made as soon as tax authorities de-froze its bank accounts.

This was the second time in just over a month that the airline was suspended on the same count from the (ICH). Airlines and related firms settle accounts for services provided by them to other such companies through ICH.

A large number of bank accounts of the beleaguered airline have been frozen by the income tax, service tax and excise and customs departments for its failure to clear dues.

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