Asked about the action taken by the government for timely repayments, Patel said: "OMCs take action for recovery of dues in line with the mutually agreed commercial terms between them and the Airlines."
He further said that in case of defaults by the airline companies, OMCs put them on 'Cash and Carry' scheme and interest is recovered on all overdue payments.
Replying to a separate question, Patel said the government is examining the proposal of setting up a Civil Aviation Authority (CAA) in place of existing Directorate General of Civil Aviation (DGCA).
"A proposal for setting up a Civil Aviation Authority was mooted through DGCA. The technical cooperation bureau of International Civil Aviation Organisation prepared a study report and it is under consideration of the government," he said.
Thomas should quit as CVC, says NCP
Under-priced fuel to cost oil retailers Rs 65k cr
Airfare game - Will the passengers benefit?
Jet Airways to go in for 20 pc equity dilution
New regulator wants say in airfare, disputes