NCLT rejects applications seeking copy of Jet Airways’ resolution plan

By: |
February 23, 2021 8:38 PM

The Mumbai bench of NCLT, chaired by Mohammed Ajmal and V Nallasenapathy, dismissed pleas by various applicants seeking a copy of the resolution plan submitted by Kalrock-Jalan consortium for the grounded airlines.

NCLT rejects applications seeking copy of Jet Airways' resolution planThe airline, which ceased all operations in April 2019, owes more than Rs 8,000 crore to banks, with public sector lenders having significant exposure. (File image)

The National Company Law Tribunal (NCLT) on Tuesday rejected applications filed by various parties seeking a copy of the resolution plan submitted by winning bidder Kalrock-Jalan Consortium for grounded Jet Airways.

The Mumbai bench of NCLT, chaired by Mohammed Ajmal and V Nallasenapathy, dismissed pleas by various applicants seeking a copy of the resolution plan submitted by Kalrock-Jalan consortium for the grounded airlines.

On Monday, the tribunal had also rejected applications of five employee unions who had appealed to see the resolution plan.

In January, the Jet Airways Aircraft Maintenance and Engineers Workers Association (JAMEWA) had filed an application in the NCLT to expedite the insolvency process of the grounded airline.

The application had urged the tribunal to hear applications that it deems necessary in order to complete the Corporate Insolvency Resolution Process (CIRP), the delay of which will cost further loss to the company and thousands of workers of the airline.

In October 2020, the committee of creditors (CoC) of the grounded airlines had approved the resolution plan submitted by the consortium of the UK’s Kalrock Capital and the UAE-based entrepreneur Murari Lal Jalan, under the insolvency resolution process.

The plan was approved after the conclusion of the e-voting on the proposal, Jet Airways Resolution Professional Ashish Chhawchharia had said in a BSE filing.

“The resolution submitted by Murali Lal Jalan and Florian Fritsch has been duly approved by the CoC under Section 30(4) of the Code (Insolvency and Bankruptcy Code) as the successful resolution plan,” said the filing.

The carrier was admitted to the NCLT in June 2019, and the CoC has met 16 times since then.

The airline, which ceased all operations in April 2019, owes more than Rs 8,000 crore to banks, with public sector lenders having significant exposure.

The NCLT had on June 20, 2019, admitted the insolvency petition filed by the lenders’ consortium led by State Bank of India against Jet Airways.

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