Jet Airways union press for liquidation amid claims of contravening of resolution plan | The Financial Express

Jet Airways union press for liquidation amid claims of contravening of resolution plan

The successful resolution applicant (SRA), Jalan Kalrock Consortium (JKC), had earlier argued  it had not received a copy of JACCA’s application.

Jet Airways union press for liquidation amid claims of contravening of resolution plan
The successful resolution applicant (SRA), Jalan Kalrock Consortium (JKC), had earlier argued it had not received a copy of JACCA’s application. (File/PTI)

The Jet Airways Cabin Crew Association (JACCA), which moved the National Company Tribunal (NCLT) late last month seeking liquidation of Jet Airways assets, on Tuesday argued that the approved resolution plan has been contravened following no payments made to the former employees of the beleaguered airline.

JACCA represents about 700 cabin crew members of the erstwhile Jet Airways, who are fighting to secure `113 crore of unpaid wages. The union claimed that the amount was to be paid within 175-180 days of the date the plan became effective (which was fixed as May 20).

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The successful resolution applicant (SRA), Jalan Kalrock Consortium (JKC), had earlier argued  it had not received a copy of JACCA’s application.

However, Rahul Kamerkar, JACCA’s lawyer, said, “The lawyer for the SRA first said that we had not served the SRA, but we shared the screen and showed that the SRA had been emailed on November 27, on three different email ids, all provided by the SRA.”

JKC has sent its rejoinder to the lenders, who have separately argued in their own response why the approved resolution plan should not be implemented. Hearings on all the matters will now be heard on December 12, said the NCLT.

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“The reason we want liquidation is because the SRA has already been delayed by a huge time period even for paying its dues to the banks, as is required under the plan, let alone to the workers. Hence, we cannot wait around any longer, allowing the assets to further deteriorate, and for airport parking charges to continue mounting endlessly. Any delay in liquidation means that the creditors, including the workers, get less in liquidation, since the value of the liquidation estate continues to shrink each day,” Kamerkar added.

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First published on: 07-12-2022 at 05:00 IST