Discussions with various authorities and ministries are underway to allot slots to Jet Airways, , says Ashish Chhawchharia, resolution professional
After nearly two years, the National Company Law Tribunal (NCLT) on Tuesday approved the resolution plan submitted by Kalrock Capital and UAE-based entrepreneur Murarilal Jalan for reviving Jet Airways (India) Ltd, which has been grounded since April 2019. While the process took more than the 270-day deadline, primarily due to the pandemic, the approval is unprecedented for the aviation sector, considering that so far no domestic carrier returned to the skies after shutting down operations, Ashish Chhawchharia, resolution professional, Jet Airways, and partner, Grant Thornton Bharat Llp, said in an interview. Edited excerpts:
They (NCLT) have said 90 days will be given to work out the slots with authorities, and (get) mutually acceptable solution. Discussions with various airports, aviation authorities and ministries are underway to find an acceptable solution. Let’s see when the order is uploaded, then we will get to see the fine print. Otherwise, the NCLT order is positive.
Is 90 days enough to finalize slots?
Work is going on. The bench has not said 90 days or nothing. It has said to come back if extra time is necessary. The timeline is beneficial as it puts some kind of pressure on everyone.
How soon will the payment (towards creditors and banks) start?
This is as per the terms of the resolution plan. So, I think once the order is received, I will inform creditors how they are being dealt with in the plan. Now it will suffice to say that this will be as per the resolution plan, and after effective dates, it (payment) will happen. Before this, we have to carry out certain conditions like having agreement on slots.
I think this was dismissed today. Sahara’s claim was in the other creditor’s category and not secured. They had sought to be secured creditors. But, again, let me see the order copy and how the judges have interpreted that.
Jet Airways’ annual general meeting (AGM) was adjourned. Any updates?
The AGM will have to be convened again as per the due process. And then agenda for financial statements will have to be carried out. Accounts have been audited but the participation was limited (last time around).
What is your view on the resolution process??
To the best of my knowledge, this would be unprecedented for an airline to be flying again after being grounded. But I think, in terms of the timelines, there were several reasons for delay. Covid being a major reason.
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