'Facilitation Fee' levied by authorised travel agents on air tickets booked on Government account – Withdrawal regarding

No. 19024/112012-E-IV
Government of India
Ministry of Finance
Department of Expenditure

North Block, New Delhi. Dated the 5^th September, 2014.

OFFICE MEMORANDUM

Subject:-  ‘Facilitation Fee’ levied by authorised travel agents on air tickets booked on Government account – Withdrawal regarding.

Attention is invited to this Department’s O.M. of even number dated 10^th October, 2013 wherein the authorised travel agents namely M/s Balmer Lawrie & Company Limited (BLCL), M/s Ashok Travels & Tours (ATT) and Indian Railways Catering and Tourism Corporation Ltd. (IRCTC), were allowed to levy ‘Facilitation Fee’ @ Rs. 100/- per ticket for domestic sector and Rs. 300/- per ticket for international sector for air travel, wherein Government of India bears the cost of air passage.

1. The issue has been re-examined in consultation with the Ministry of Civil Aviation and Department of Legal Affairs, in the light of provisions of the Aircrafts Rules, 1937, as amended from time to time, and it has been decided to withdraw this Department’s O.M. of even number dated 10^th October, 2013 with immediate effect. Consequently, nofee/service charges (by whatever nomenclature), which are not included in the ‘tariff’ charged by Air India/Airlines, are required to be paid to the authorised travel agents.
2. Payment to the authorised travel agents for the Bills raised by them for air tickets procured/purchased till date, in respect of air travel already undertaken or due to be undertaken, would be regulated as per O.M. of even number dated 10.10.2013. It is reiterated that, as far as possible, air tickets on Government account may be obtained directly from Air India/Airlines (booking counters/offices/website) and if obtaining tickets directly from Air India/Airlines is not possible, should the services of authorised travel agents be availed of.
3. All Ministries/Departments are advised to bring these instructions to the notice of all  concerned for compliance.

(Subhash Chand)

Director

To,

All Ministries/Departments of Government of India and other Government offices (as per Standard Mailing List)

Copy  to:- NIC for uploading the O.M. on the website of the Department of Expenditure.