Succession, scrutiny and stress tests

It was a year marked by airline disruptions, trust battles, inheritance feuds and a Supreme Court reversal that tested the foundations of corporate governance

- ISHITA AYAN DUTT

From airline disruptions and boardroom battles to inheritance feuds and courtroom reversals, corporate India delivered no shortage of drama in 2025. But beneath the headlines lay deeper questions about governance, succession, and institutional resilience.

A crisis at IndiGo pushed regulators and passengers to the brink. A power struggle at Tata Trusts revived uncomfortable memories of the past. An inheritance battle at Sona Comstar spilled into public view, magnified by a celebrity connection. And a Supreme Court reversal in the JSW Steel-Bhushan Power case ultimately rescued India’s insolvency framework.

For corporate India, 2025 was as much about stress-testing institutions as it was about deals and growth.

The most unexpected turbulence came late in the year, when IndiGo — India’s largest airline — ran into an air pocket of its own making.

From widespread delays to mass flight cancellations, the carrier, which accounts for nearly 65 percent of the country’s daily flights, threw India’s aviation network into disarray soon after a new pilot-rostering system kicked in under the revised Flight Duty Time Limitation norms from November 1.

What followed was a near-total operational meltdown. Stories ranged from a couple attending their own wedding reception virtually to a groom missing his wedding altogether, amid chaotic scenes at airports and mountains of delayed baggage. A low-cost airline that had built its brand on punctuality watched that reputation unravel in a matter of days.

The disruptions were “credit negative”, Moody’s said, citing significant lapses in planning, oversight, and resource management. The rating agency pointed out that the new regulations had been known to the industry for over a year, raising pointed questions about corporate governance at the airline.