Home > India > IndiGo Issues ₹827 Crore Refunds After 6 Lakh Cancelled Tickets, Returns 4,500 Bags Out of 9,000

IndiGo Issues ₹827 Crore Refunds After 6 Lakh Cancelled Tickets, Returns 4,500 Bags Out of 9,000

IndiGo refunds ₹827 crore, returns 4,500 bags after mass cancellations, aviation crisis raises questions on airline reliability and industry oversight.

Published By: Neerja Mishra
Last Updated: December 8, 2025 16:14:51 IST

India’s largest airline, IndiGo, began refunding around ₹827 crore to hundreds of thousands of passengers as it deals with one of the worst operational crises in its history. The crisis triggered mass cancellations, long delays and widespread passenger complaints across major airports.

IndiGo Crisis: Refunds ₹827 Crore & 4,500 of 9,000 Lost Bags

India’s largest airline, IndiGo, began refunding around ₹827 crore to hundreds of thousands of passengers, as it deals with one of the worst operational crises in its history. Between November 21 and December 7, the airline cancelled 9,55,591 tickets, and has started returning funds to affected travellers.

On just December 1–7, nearly six lakh tickets worth ₹569 crore were cancelled and refunded. The airline also confirmed that it has returned about 4,500 out of nearly 9,000 delayed or lost bags, with a commitment to deliver the rest soon.

IndiGo Crisis: Passenger Baggage

The massive cancellations left many travellers stranded, and some had their luggage behind. Following pressure from regulators and public outcry, IndiGo has begun returning checked-in baggage to customers. 

According to officials, the airline aims to deliver all remaining bags within 36–48 hours. For many travellers, the baggage return is as important as the refund, especially when cancellations disrupted family plans, business trips, and urgent travel.

Government Steps In: Orders Refunds & Baggage Return

Regulatory fury followed the chaos. The Ministry of Civil Aviation (MoCA) directed IndiGo to complete all refunds by 8:00 PM on December 7. The ministry also ordered the airline to deliver all delayed baggage to customers’ homes within 48 hours. Failure to comply would invite immediate action. The government barred IndiGo from charging any cancellation or rescheduling fees. This firm directive aimed to protect passenger rights amid widespread disruption.

“The Ministry of Civil Aviation has directed IndiGo to clear all pending passenger refunds without delay… and ensure separated baggage is traced and delivered within 48 hours,” said Minister Ram Mohan Naidu Kinjarapu.

IndiGo Crisis Management Group Takes Charge

Facing mounting pressure, IndiGo’s board of its parent company formed a dedicated Crisis Management Group. The group now leads efforts to restore normal operations, speed up refunds, reschedule affected flights, and ensure smooth baggage returns. The airline said restoring “100% operational integrity” is its top priority.

As part of the cleanup, IndiGo has resumed operation of about 1,800 flights daily on most of its 137–138 destinations. It aims to stabilise network connectivity while gradually regaining customer trust.

IndiGo Crisis: What Caused the Collapse? 

The crisis stemmed from IndiGo’s failure to adjust rosters in time after stricter pilot rest and duty-time norms came into force on November 1. The airline mismanaged crew scheduling, leading to severe staff shortages. This sparked hundreds of cancellations and left thousands of passengers stranded across major airports like Delhi, Mumbai, Bengaluru, Chennai, Hyderabad and others.

The regulator, DGCA (Directorate General of Civil Aviation), has launched an investigation into the lapses. Meanwhile, IndiGo has appealed for some relief in applying the new norms as it works to rebuild operations.

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The Daily Guardian is India’s fastest growing News channel and enjoy highest viewership and highest time spent amongst educated urban Indians.

© Copyright ITV Network Ltd 2025. All right reserved.