New Delhi [India], October 8 (ANI): InterGlobe Aviation Limited, the parent company of IndiGo Airlines, has informed stock exchanges that the Directorate General of Civil Aviation (DGCA) has imposed a penalty of 20 lakh on the airline on Wednesday.

In a regulatory filing to the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE), IndiGo stated that the penalty pertains to an alleged failure to utilise qualified simulators for pilot training at Category C aerodromes.

The communication from DGCA was received on September 26, 2025. IndiGo clarified that it is currently contesting the order before the appropriate appellate authority.

The airline also emphasised that the penalty does not have any material impact on its financials, operations, or other activities.

Addressing the delay in disclosure, IndiGo explained that it was unintentional and caused by internal delays in communicating details of the order.

Meanwhile, India's domestic aviation sector continued to expand in 2025, though passenger traffic in August showed a slight dip compared to July.

According to the Directorate General of Civil Aviation (DGCA) report, airlines carried 1107.26 lakh passengers between January and August 2025, up 4.99% year-on-year from 1054.66 lakh in the same period last year.

However, August traffic decreased by 1.40% month-over-month.

'Passengers carried by domestic airlines during January-August 2025 were 1107.26 lakhs as against 1054.66 lakhs during the corresponding period of the previous year, thereby registering an annual growth of 4.99 % and a monthly growth of -1.40 %,' the DGCA said in its monthly traffic report for August.

According to the DGCA, IndiGo carried 83.14 lakh passengers in August, accounting for a 64.2% market share, slightly down from 65.2% in July. Despite the dip, the airline has consistently held more than 63% of the market every month this year, peaking at 65.2% in January and July. (ANI)