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India Orders Antitrust Probe Into IndiGo After Mass Flight Cancellations

 |  February 4, 2026

India’s competition watchdog has launched a formal investigation into the country’s largest airline, IndiGo, following a wave of flight cancellations that disrupted air travel across the country in December, according to Reuters. The move comes after thousands of passengers were left stranded and ticket prices surged during one of the busiest periods for domestic travel.

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    IndiGo, which commands the biggest share of India’s domestic aviation market, scrapped around 4,500 flights in the first weeks of December, affecting tens of thousands of travelers nationwide, per Reuters. The scale of the disruption raised broader concerns about the lack of competition in what is considered the world’s fastest-growing aviation market.

    In an order posted on its website this week, the Competition Commission of India said the airline holds a dominant position in the market because of its large fleet, wide route network and strong financial backing, according to Reuters. The regulator said the cancellations appeared to go beyond routine operational issues and had the potential to distort the market.

    “By cancelling thousands of flights constituting a significant portion of the scheduled capacity, IndiGo effectively withheld its service from the market, creating an artificial scarcity, limiting consumer access to air travel during peak demand,” the CCI said.

    Related: India Regulator Reviews Antitrust Claims Against IndiGo After Widespread Flight Disruptions

    The inquiry was triggered by a complaint from a lawyer who accused the airline of breaching antitrust rules by pulling hundreds of flights, which allegedly led to sharp increases in fares and widespread inconvenience for passengers, per Reuters. The regulator noted that IndiGo’s market strength meant many customers had few realistic alternatives, leaving them vulnerable when services were cut.

    Based on its preliminary assessment, the CCI said IndiGo’s actions may have harmed competition in the Indian aviation sector, and it has therefore ordered a detailed investigation, according to Reuters. IndiGo did not immediately respond to a request for comment from Reuters.

    The competition probe adds to mounting regulatory pressure on the airline. In January, India’s aviation safety regulator imposed a record fine of $2.45 million on IndiGo, issued warnings to senior executives and instructed the company to remove the head of its operations control from his role, per Reuters.

    That penalty followed a probe by the Directorate General of Civil Aviation, which identified several shortcomings in the airline’s operations after stricter pilot rest and duty rules were introduced last year, according to Reuters.

    Source: Reuters