Former British Airways boss 'to run Air India' after privatisation

The Times of India said Cruz, who headed BA until last year, is among the choices for a new management board at Air India, which is now owned by the Tata Group.

Cruz was a controversial figure at BA after a cost-cutting programme, but Air India is in need of a shake-up now it is no longer government-backed. 

Tata sealed the Air India deal after a $2.4 billion equity and debt arrangement was thrashed out. Tata will take on around $2 billion of the airline’s debt and gain budget carrier Air India Express as part of the deal.

Tata Group is a huge conglomerate, with travel interests including Taj Hotels and Vistara, a joint airline venture with Singapore Airlines. Tata’s other interests include Land Rover, Jaguar and Tetley.

The agreement brings Air India back to its original founders, which ran it from 1932 until it was nationalised in 1953.

In recent years Air India has suffered heavily due to the emergence of the Gulf carriers on international routes and budget airline competition on local services, with the pandemic adding further pressure on an already inefficiently run carrier.