New Delhi, August 19: Skyways Air Services Limited, set to launch its Initial Public Offering (IPO) next week, has disclosed significant risks in its official documents submitted to SEBI. The Economic Offences Wing (EOW) is investigating allegations of fraud, overbilling, forgery, and criminal conspiracy against the company and its subsidiary, Bress Port Logistics Limited.
The Skyways IPO opens for investors on August 24 and will remain available until August 27. The price band is set between ₹131 and ₹138 per equity share, featuring a fresh issue of 2.89 crore equity shares and an offer for sale (OFS) of 1.33 crore shares.
The risks outlined in the IPO documents are linked to an FIR filed on December 12, 2025, by the EOW in Delhi, based on a complaint from UK-based PG Paper Company Limited. In this FIR, Skyways Air Services is named as accused number three, while Bress Port Logistics Limited is accused number two. The ongoing criminal proceedings against the company and its subsidiary were referenced in the Red Herring Prospectus (RHP) filed on August 11, 2026.
According to the allegations detailed in the RHP and representations, PG Paper claims that companies within the Skyways Group, including Bress Port, RIV Worldwide Limited UK, and Skyways SLS Logistics GmbH, colluded to secure freight contracts through inflated freight invoices, alleged bribery, fraud, and misinformation.
The complainant alleges that these three subsidiaries generated over ₹800 crore in business since 2021, resulting in a direct loss of at least ₹44.20 crore.
In representations made to SEBI, PG Paper also accused Bress Port and Skyways of collectively over-invoicing the company by approximately ₹44.20 crore.
The complaint asserts that freight costs were deliberately inflated, in some cases exceeding current market rates by 40% to 300%. Additionally, it is alleged that an employee involved in freight arrangements was bribed to bypass the company’s internal investigation processes.
The FIR cites sections related to criminal breach of trust, fraud, forgery, use of forged documents, and criminal conspiracy under the Indian Penal Code (IPC) and the Indian Evidence Act.
Another significant risk highlighted in the documents pertains to regulatory actions 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-LO (AEO-LO) certificate.
As of May 4, 2026, the company’s AEO-LO status remains suspended pending the outcome of the investigation. Skyways submitted its response to the relevant authority on July 28, 2026, and the matter is still unresolved.
However, the company did not provide any comments when contacted regarding these issues.
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