New Delhi, August 27: Skyways Air Services Limited is preparing for its initial public offering (IPO) worth ₹582.8 crores. On the final day of bidding, there was significant enthusiasm in the grey market, with the grey market premium (GMP) reaching approximately 33%. However, several key risks outlined in the company’s red herring prospectus (RHP) are raising concerns among investors.
The company has set a price band of ₹131 to ₹138 per share for the IPO. This issue includes a fresh issue of 2.89 crore new equity shares and an offer for sale of 1.33 crore shares from existing shareholders.
According to the RHP submitted to SEBI, Skyways Air Services Limited and its significant subsidiary, Bress Port Logistics Limited, are currently under investigation by the Economic Offences Wing (EOW) concerning allegations of fraud, overbilling, forgery, and criminal conspiracy.
Documents provided to SEBI indicate that this case is linked to FIR number 0172 from 2025, filed by the EOW in Delhi on December 12, 2025. This action was based on a complaint from PG Paper Company Limited, based in the UK. The FIR names Skyways Air Services as the third accused and Bress Port Logistics as the second. The RHP filed on August 11, 2026, records this FIR as a pending criminal case against the company and its subsidiary.
The allegations state that PG Paper claims the Skyways group entities, including Bress Port, RIV Worldwide Limited (UK), and Skyways SLS Logistic GmbH, allegedly coordinated to secure freight business. It is claimed that inflated freight bills were prepared, misleading information was provided, and fraud was committed during this process.
The complainant asserts that over ₹800 crores in business was conducted through these three subsidiaries since 2021, leading to a direct loss of at least ₹44.20 crores. The representation submitted to SEBI also alleges that Bress Port and Skyways collectively recovered approximately ₹44.20 crores in excess.
According to the allegations, in some cases, freight charges were reported to be 40% to 300% higher than market rates. It is also claimed that an employee involved in the freight procurement process was allegedly influenced to bypass internal control mechanisms.
The FIR includes charges related to criminal breach of trust, fraud, forgery, use of false documents, and criminal conspiracy.
Another significant risk facing the company is regulatory action. Following the FIR, the Central Board of Indirect Taxes and Customs (CBIC) issued a notice on May 14, 2026, proposing to suspend and revoke Skyways’ Authorized Economic Operator (AEO) certificate.
The company’s AEO-LO status has been suspended since May 4, 2026, pending the investigation’s outcome. Skyways submitted its response to the relevant authorities on July 28, 2026, but the matter remains unresolved.
Previously, the company did not comment on questions raised regarding this case.
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