The shares of the company was seen trading lower by 4.76% at Rs 12.00 on the BSE at 9.40 am IST.
The Civil Aviation Minister on Friday issued a show cause notice to KFA, asking it "why its permit should not be cancelled or suspended" as the Airline had failed to establish a safe, efficient and reliable service.
The operation of the Kingfisher Airlines was suspended due to strike by its employees as they were not paid salaries since the last seven months.
However, the company has not approached the DGCA with any operational plan. Union Minister of Civil Aviation Ajit Singh while taking a strong note of the situation said that there would be no compromise on safety of aircraft operations.