DNA Money Edit: Fire at IndiGo needs to be doused soon

The full-blown public spat between two co-founders of India's most successful airline is not in the interest of the entire aviation industry in general and IndiGo in particular. The development has already led to the stock tumbling down for the last few days, with a 9% fresh drop on Thursday.

Though the tension between the two promoters has been simmering since past over a year, it is only in recent months it has started coming out in the open. However, on Tuesday, it took a worse turn as Rakesh Gangwal, one of the promoters approached Securities and Exchange Board of India for intervention alleging a "paan ki dukaan" has better corporate governance compliance then IndiGo. The allegations should be probed with seriousness by the regulators.

At the same time, the country can ill afford to see another airline going down. The industry is yet to come out the loss sustained due to the grounding of Jet Airways as a result of which thousands of people became jobless. This is apart from the direct and indirect benefits an airline brings to the local economy of a place where it operates. Amid all this, IndiGo has led the market by running a tight ship and capturing about 50% of the market share.

If the tussle is allowed to continue then it will have a catastrophic effect on the industry, which is already going through a bad patch.