Tuesday, March 21 2006 16:57 Hrs (IST) - World Time -

New Delhi: Carrying forward its probe into the Rs 2,300 crore buyout of Air Sahara by Jet Airways, MRTPC's investigative arm has issued notices to both the air carriers seeking details of the proposed acquisition.

Director General (Investigations and Registrations) of the Monopolies and Restrictive Trade Practices Commission (MRTPC) is looking into the mega deal to check whether it has resulted in creating a monopoly in the Indian aviation sector.

"Notices have been issued to both the air carriers and they have been given around a week's time to file their reply," ministry sources told sources.

The probe by MRTPC runs parallel to the efforts by Jet to get a final nod from the government on the buyout. Faced with a March 24 deadline for finalising the deal, there are apprehensions that the carrier may have to seek an extension in the deadline or else the deal could come a cropper. Asked whether the DGIR could also approach the Registrar of Companies (RoC) to seek details of the board meetings regrading the sale and purchase process, the sources said it could be a possibility.

"However, all these aspects are being looked into,"they said.

The MRTPC, which swung into action after Prime Minister's Office intervened, had forwarded the investigation of the deal to the DGIR in the wake of reports as well as accusations that it could lead to monoploy of Jet Airways.

In fact, BJP MP Uday Singh had written a letter to Prime Minister Manmohan Singh urging that MRTPC should look into the deal to uphold integrity and transparency.

The buyout, if cleared, will see the Naresh Goyal-promoted Jet increase its share in the domestic market to around 50 per cent.

However, even as it awaits a clearance from Directorate General of Civil Aviation, Goyal had said yesterday that there was no problem with the deal.

"I have got information that we have received the approval from the Department of Company Affairs. We are completing necessary formalities of the acquisition," he said.