Air India has launched an internal investigation after uncovering large-scale misuse of its employee travel benefits scheme, with more than 4,000 staff members reportedly involved in irregular claims. The issue surfaced during an internal audit of the airline’s Employee Leisure Travel (ELT) policy, prompting disciplinary action and tighter compliance measures.
The airline, which employs over 24,000 people and was acquired by the Tata Group in 2022, is currently undergoing a transformation programme aimed at improving governance and operational efficiency. The discovery of widespread misuse within the staff travel programme has added another challenge for the carrier as it seeks to strengthen internal oversight.
Internal Audit Reveals Widespread Irregularities
The discrepancies were identified after Air India conducted a detailed review of how its Employee Leisure Travel policy was being used. Investigators reportedly found large-scale irregularities in travel claims submitted by employees under the scheme.
Sources familiar with the investigation indicated that the irregularities involved more than 4,000 employees. As a result, the airline has initiated corrective actions, including imposing penalties and seeking refunds from employees who were found to have misused the benefits.
The airline has also begun reviewing policy procedures to prevent similar violations in the future.
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Misuse Involved False Nominees and Ticket Resale
Under the ELT policy, employees are entitled to a limited number of free or concessional tickets each year for themselves and nominated family members such as spouses and parents.
However, the internal investigation found that some employees allegedly listed individuals who were not their relatives as nominees in order to obtain free tickets. In other cases, staff members reportedly issued complimentary tickets and later sold them privately for profit, which violates company rules governing employee travel benefits.
Such practices not only breached company policy but also raised concerns about internal compliance and monitoring mechanisms.
Corrective Measures and Policy Tightening
In response to the findings, Air India has started implementing corrective steps to address the irregularities. Employees involved in the violations have reportedly been asked to refund improperly obtained benefits, and several have been subjected to financial penalties.
The airline has also tightened verification requirements for employee travel nominations. Staff are now required to provide stronger documentation to confirm their relationship with nominees before tickets can be issued under the scheme.
These changes are intended to strengthen oversight and prevent further misuse of the program.
Airline Undergoing Broader Transformation
The discovery comes at a time when Air India is undergoing a major transformation following its acquisition by the Tata Group. The airline is working to modernize operations, improve service standards, and implement stronger governance practices across the organization.
Industry observers note that addressing internal policy violations is an important step toward improving corporate accountability as the airline continues its restructuring efforts.
About the author – Ayesha Aayat is a law student and contributor covering cybercrime, online frauds, and digital safety concerns. Her writing aims to raise awareness about evolving cyber threats and legal responses.
