New Delhi (05.12.2025): The Central Bureau of Investigation (CBI) has registered a formal corruption case against V P Agarwal, the former Chairman of the Airports Authority of India (AAI), stemming from allegations of favouring private companies in awarding contracts for food and beverage services at the Chennai and Kolkata airports back in 2012-13.
The case follows a three-year preliminary enquiry into alleged "cheating and gross misconduct." The CBI has also named several other individuals and corporate entities, including:
* S Suresh, then-AAI Member
* R Bhandari, then-Executive Director
* Travel Food Services Chennai Private Limited and Travel Food Services Kolkata Private Limited (lounge operators)
* Devyani International Limited (a major operator of fast-food chains)
Key Allegations
The central issue concerns the tenders for the master concessionaire contract for F&B services at both airports. It is alleged that senior AAI officials committed gross misconduct, manipulated the tender process, and made unauthorised changes to the terms and conditions of the contract to benefit the private parties involved.
The AAI had previously engaged IL&FS Infrastructure Development Corporation Limited as a consultant in August 2011. The consultant's role was to help boost non-aeronautical revenue—which includes earnings from F&B, retail, advertising, and parking—through a proposed master concessionaire model. This model intended for a single agency to be granted a 10-year contract to manage and operate all F&B outlets at each airport.
The CBI began its enquiry in 2022. Based on an extensive report indicating cheating and a criminal conspiracy by public servants to provide undue benefits to private entities, the agency converted the enquiry into a formal First Information Report (FIR).
