Avoid sending correspondence on behalf of Jet: JKC to panel member

Ashish Chhawchharia, a member of Jet Airways' monitoring committee, should refrain from sending correspondence on behalf of the airline, said the carrier's winning bidder Jalan-Kalrock Consortium (JKC) on Tuesday.

Chhawchharia had on January 2 sent a letter to JKC wherein he objected to Sanjiv Kapoor using designation of Jet Airways CEO as the airline is yet to be handed over to JKC under the resolution plan.

In March last year, aviation veteran Kapoor was appointed as the CEO of grounded Jet Airways by JKC. The monitoring committee consists of seven members: Chhawchharia as a non-voting member, three voting members selected by lenders and three voting members selected by JKC.

In a letter to Chhawchharia on Tuesday, JKC said: "Sanjiv Kapoor, who received necessary security clearance from the Honourable Ministry of Civil Aviation, Government of India, in August 2022...is the CEO Designate for Jet Airways and thus requires no further approval from any statutory authority."

JKC asked Chhawchharia to share relevant minutes of the monitoring committee meeting in which the aforementioned matter was discussed and a resolution was passed to issue a letter to Kapoor.

"In the event there exists no monitoring committee resolution which authorizes you to write to Mr. Kapoor, your letter under reference shall be considered as null and void and you are advised to refrain from communicating on behalf of Jet Airways until authorized by all required members of the monitoring committee," it added.

In an ongoing case in the National Company Law Tribunal (NCLT), the lenders have stated that JKC has not fulfilled three out of five conditions precedent (CP) mentioned in the NCLT-approved resolution plan and therefore, Jet Airways can't be handed over to JKC right now. This contention by the lenders is confusing because a National Company Law Appellate Tribunal (NCLAT) order of October 21 has stated that JKC has “completed all necessary CPs to the satisfaction of the monitoring committee”.