The Union government has approved the transfer of the Air India building in Mumbai from AI Assets Holding Company Ltd to the Maharashtra government in exchange for a large payment of Rs 1,601 crore.

Under the terms of the deal, the Maharashtra government has agreed to discharge dues of Rs 298.42 crore owed by AI Assets Holding Company Ltd to the state government. The Department of Investment and Public Asset Management (DIPAM) has confirmed the arrangement, reported ANI.