New Delhi: India’s competition watchdog has ordered a formal investigation into InterGlobe Aviation, the operator of IndiGo, escalating regulatory scrutiny over allegations that the airline may have created an “artificial shortage” of seats during the peak travel disruption in December.
In a disclosure to stock exchanges, the company said the Competition Commission of India (CCI) passed a prima facie order on February 4, 2026, under Section 26(1) of the Competition Act, directing the regulator’s Director General to initiate an investigation against the airline. The order follows a news report that triggered market queries and a clarification sought by the National Stock Exchange.
IndiGo said it has already informed exchanges about the CCI’s direction in line with disclosure norms and is currently reviewing the order. “This order is a prima facie order to initiate an investigation,” the company said, adding that it will take appropriate recourse after examining the regulator’s findings in detail.
The probe will focus on whether the airline’s actions during the period of flight disruptions and heavy demand amounted to anti-competitive conduct, including the alleged creation of a seat shortage that may have influenced fares or availability.
While the CCI’s order does not constitute a finding of guilt, it opens the door for a detailed investigation by the watchdog’s investigative arm.
The development adds a regulatory overhang for the country’s largest airline by market share, even as the carrier continues to dominate domestic capacity. Any adverse finding could have implications for business practices across the aviation sector, which has been under the scanner for pricing and capacity management during peak travel periods.