In a major breakthrough for India's insolvency mechanism which is still in its evolving stage, Jet Airways would be the first Indian company to undergo insolvency proceedings under the Cross Border Insolvency Protocol along with the Insolvency and Bankruptcy Code (IBC) of India.
The airline has inked a pact for leasing the four MAX aircraft, SpiceJet Chairman and Managing Director Ajay Singh told shareholders at the company's annual general meeting in New Delhi on Monday, according to a source.
The RP of Jet Airways had moved NCLT on September 20 seeking directions to the lenders, who own 51 percent in the airline since March, to release interim funds.
This is the first time that the central agency is grilling him after it conducted searches against him last year. Goyal's statement has been recorded under the Foreign Exchange Management Act (FEMA) at the agency's zonal office here, they said.
The searches are being carried out under the provisions of the Foreign Exchange Management Act (FEMA) and are aimed at gathering additional evidence.
In April, the temporary suspension of Jet Airways' operations had created a capacity crunch in the domestic sector. Consequently, 280 slots in Mumbai and over 160 in Delhi were left vacant.
The affairs of Jet Airways, which closed down its operations on April 17, are now being managed by resolution professional Ashish Chhawchharia under the insolvency law. In the communication to the exchanges, Chhawchharia said that prior to the commencement of the resolution process, directors, chief executive officer, chief financial officer, company secretary and other top management personnel had resigned from the company.
In his complaint, the passenger from Chhattisgarh had said he had booked a flight from Raipur to Kolkata on June 9, 2012. The flight which was scheduled to depart at 9.25 pm, was combined with another flight which left at 10.40 am, more than 10 hours before the scheduled departure.
Anil Agarwal said, "the EoI for Jet Airways by Volcan was exploratory in nature. On further evaluation and considering other priorities, we intend to not pursue this further."
Volcan Investments, the family trust of Vedanta Chairman Anil Agarwal, has shown interest to invest in the now grounded Jet Airways and has submitted an Expression of Interest (EoI) for the debt-ridden airline.
The airports in Chennai have 34 unused slots, Indore 18, Guwahati 12 and Ahmedabad have 8 slots, the minister said in a written reply to a question in the Lok Sabha.
The Delhi High Court on Tuesday asked Jet Airways promoter Naresh Goyal to submit Rs 18,000 crore in bank guarantees in order to be allowed to travel abroad.
Citing the reasons for his visit abroad, Goyal's counsel told that court that he needed to explore financial options for the airlines which is facing a serious financial crunch. Senior advocate Maninder Singh said that Goyal was an NRI and a resident of Dubai and hence he needed to go back to the UAE before July 10. Else, his residential rights would be revoked.
The Centre has ordered a SFIO probe into the affairs of now defunct Jet Airways after finding instances of fund diversions and large-scale irregularities, sources said on Thursday. The Ministry of Corporate Affairs (MCA) has asked the SFIO to probe the alleged fund diversion and writing off of investments by Jet Airways.
The tribunal will hear HDFC's plea Friday along with the main petition. Last month, NCLT had admitted the insolvency petition filed by the lenders' consortium led by State Bank against Jet Airways which stopped operations on April 17 after running out of cash.
With prospective buyers lining up to take a shot at bagging Jet Airways cheap, its prime asset -- the flying license -- is under the aviation regulator's scrutiny that might derail the NCLT-backed resolution process.
In a first-of-its-kind initiative, a Jet Airways Employee Consortium and AdiGroup Friday announced a partnership to bid for 75 per cent of the airlines through the NCLT process, members of the consortium said.
The cash-strapped company became the first domestic airliner to go into bankruptcy after the Mumbai bench of the National Company Law Tribunal (NCLT) admitted an insolvency petition filed by SBI on behalf of 26 lenders on June 20.
Jet Airways Thursday became the first domestic airliner to go into bankruptcy as the NCLT admitted an insolvency petition filed by State Bank on behalf of 26 lenders, sending its share price soaring a whopping 150 percent after having plumbed life-lows for many days.
Shares of Jet Airways witnessed an unprecedented rally on the bourses Thursday, bouncing back sharply after days of massive fall to close the day over 122 per cent higher.
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