According to sources, government has set Dec 2012 as the deadline for the airline management. The government is unlikely to renew KFA's licence if it fails to submit its revival plan by the end of Dec 2012.
The reports surfaced when government officials expressed their concern for the grounded airline as its management has not come up with any revival plan.
Earlier, Vijay Mallya had met Civil Aviation Secretary KN Shrivastava to brief him about the revival plan of the airline.
After his meeting Mr Srivastav, Mr Mallya said, "I have briefed the secretary on revival, restart plan. It would be a comprehensive plan. All hurdles will be crossed."
Now it seems that despite Mr Mallya's meet with the minister, government remains in dilemma over the airline whose flying licence was suspended in Oct 2012 following continuous stir by its employees against its management.