Mumbai International Airport Limited (MIAL), the joint venture company which runs the city airport, has communicated its decision to the Air India management, they said.
"Air India has been put on cash-and-carry mode as it failed to clear the dues in required time," a source in MIAL here said.
The carrier has been told to pay at least Rs 200 crore by next month if it wanted to be taken off from the cash-and- carry mode, the sources said, adding "as of now their cumulative dues stand at Rs 450 crore."
When contacted, Air India spokesperson refused to comment on the issue off-hand.
MIAL's move comes at a time when the national carrier is in the process of joining Star Alliance.
No such move was being considered by GMR-led Delhi International Airport Limited (DIAL), sources said, adding that the national carrier was making regular payments to clear current expenses, though a backlog still existed.