India’s primary market regulator, the Competition Commission of India (CCI), has officially launched an investigation into InterGlobe Aviation, the operator of IndiGo. This decision follows a wave of flight cancellations in December 2025 that left hundreds of thousands of passengers stranded and raised serious questions about the airline’s market conduct.
The investigation was sparked by a formal complaint from a passenger, Kartikeya Rawal, who alleged that after his flights were cancelled, the airline failed to provide adequate alternatives and instead offered new tickets at significantly higher prices. This has led the CCI to examine whether IndiGo used its dominant market position to unfairly profit from a crisis.
A Dominant Force in the Skies
The regulator’s preliminary report highlights just how much influence IndiGo holds over Indian aviation. With a fleet of over 400 aircraft and a passenger market share of roughly 63%, IndiGo is the undisputed leader in the industry. More importantly, the CCI noted that on more than 330 domestic routes, IndiGo is the only airline operating, giving passengers no other choice if their flights are disrupted.
The core of the investigation focuses on whether IndiGo’s actions created “artificial scarcity.” By cancelling a large volume of flights and then charging premium rates for the remaining seats, the airline may have violated competition laws designed to protect consumers from the abuse of market power.
Legal and Regulatory Challenges
In its defense, IndiGo argued that flight disruptions are a matter for the aviation technical regulator, the DGCA, rather than a competition issue. However, the CCI dismissed this argument, stating that while the DGCA handles safety and operational rules, the Commission is responsible for ensuring that a company’s business practices do not harm the fair market.
This probe comes on the heels of a ₹22.20 crore fine already imposed on the airline by the Ministry of Civil Aviation for the same December disruptions. While that fine addressed the immediate operational failure, the CCI’s inquiry will look deeper into the long-term impact on competition and passenger rights.
What Happens Next?
The Director General has been given 90 days to complete a detailed investigation and submit a final report. Depending on the findings, IndiGo could face recommendations for major operational changes or formal sanctions. For now, the move serves as a clear signal from the government that dominant players in the aviation industry will be held to a high standard of accountability, especially when their actions leave the public with few alternatives.