Can cancellation fee be more than the booking amt for service

The most surprising thing is, How come the cancelation fee can be more than the booking amt for any service. I really wonder if any more such kind of Service exists in our livi g planet or we brought it from some other solar system. As per my view cancelation charges should be dynamic, considering the loss, the Aviation company has to incur due to cancelation. Like if someone is canceling the ticket 2 months before it can be zero or nominal amount , if he is canceling 15 days before it can be 50% if he is canceling on the travel day then it can be 90 or 100%. But in no condition it can be more than 100%. And this problem is now very common in this industry. If you ask them for cancelation they ask u to put some more money on above what u paid for booking, instead of returning u some. As a result, we the people of India just assumed it that once you book a domestic flight there will not be any cancelation process. We dont cancel the flight even if we don't fly and let the seat to be vacant. This process is very wrong and this is a common voice of many. Aviation ministry should bring some regulations to this long pending grievance. more  

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If you book a ticket on TruJet from Nanded (M.S) to Hyderabad, the ticket is 1200-00, but if you want to cancel it, the charges will be 1500-00. What a joke more  
This has become a type of loot in practically all the Airlines.Regulatory agency should look in to and make proper rules which are a balancing act for both airline and pax. more  
Recently I bought a return Mumbai-Dubai- Mumbai ticket on Jet. While in Dubai my daughter fell ill due to which I was compelled to change my return flight date. Imagine my shock when I was told that to cancel my DXB-MUM sectoer I would be required to pay more, leave aside getting any refund!! Is this what the Civil Aviation Ministry is doing? more  
The ministry has to intervene in this matter more  
Yes, in no condition cancellation charges should be more than 25%, if the same ticket has been booked or there is no vacancy even after the cancellation of the ticket. more  
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