AAI, GMR fight over display of logo at Delhi airport

Airports Authority of India (AAI) has objected to the GMR Group displaying only its logo at Delhi airport.

AAI, which owns a 26% stake in Delhi International Airport Pvt. Ltd. (DIAL), the GMR-led consortium that runs Capital’s Indira Gandhi International airport, wants its logo and that of the joint venture company to be prominently displayed at all Delhi airport properties.

GMR owns a 64% stake in DIAL and the remaining 10% is held by Frankfurt Airport Services Worldwide (Fraport).

“It is found that DIAL is constructing a boundary wall with logo of GMR instead of logo of the JVC,” AAI said in a letter to DIAL CEO I Prabhakara Rao.

“The present practice of using the name and logo of the group company (GMR) is contrary to the provision of operation, management and development agreement (OMDA). It is reiterated to take appropriate action for compliance of OMDA towards use of logo of JVC along with the display of logo of AAI,” the state-owned airport operator wrote.

“This is yet another example of the uneasy relationship between the shareholders. They should work towards passenger comfort and not worry about things like branding,” said an aviation expert.

AAI and GMR have been at odds on various issues in the past. AAI had asked government to stop commercial flight operations at IGI’s Terminal 1D and shift them to Terminal 3, something strongly opposed by GMR. DIAL had also refused to share its financial records with the Comptroller and Auditor General, which will conduct an audit of AAI.

“To reflect the presence and commitment of DIAL, AAI and GMR on the leased premises the GMR and AAI logo is being displayed at the airport and at other appropriate places including the boundary wall,” said a DIAL spokesperson.

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