Jet Airways Crisis

The insolvency filing marks the first major airline collapse in the country since Jet Airways filed for bankruptcy in 2019, and underscores the fierce competition in the sector

The airline wants to maintain a fleet that allows them to tap the market opportunity in India

In this complex game of claims and counter-claims, Jet Airways, which was supposed to take to the skies again by October this year, remains firmly on the ground

The new owners meanwhile have indicated that extra money wasn't part of the already agreed upon resolution plan and instead must be taken out of the banks' dues

This news comes after Jet Airways's revival plan hit another roadblock on November 18, after the new owner Jalan-Kalrock told the NCLAT of its inability to pay additional money

Amid the continuing uncertainty over the fate of grounded Jet Airways, the Jalan Kalrock Consortium on Friday said it has not breached any terms of the insolvency resolution plan and might take difficult near-term decisions to manage cashflows. The consortium's resolution plan was approved by the National Company Law Tribunal (NCLT) in June last year but the airline, which also got its air operator certificate revalidated by aviation regulator DGCA in May this year, is yet to start operations. "... while we await the handover of the company as per the NCLT process, the longer-than-expected time being taken for the same may result in some difficult but necessary near-term decisions to manage our cashflows to secure the future while the airline is still not in our possession," the Jalan Kalrock Consortium (JKC) said in a statement. It did not elaborate on the decisions that could be taken to manage the cashflows. "We have not breached any term of the resolution plan, and we remain ..

The sources said that the raids are on an individual and do not amount to culpability. Also, the investor in the consortium is the PE fund and not an individual

The government is expecting the launch of the initial public offering (IPO) of Life Insurance Corporation of India (LIC) in two to three weeks

The acting CEO of Jet Airways quit this week. The date to seek regulatory permissions for restarting the airline has also been extended twice. Why is the re-launch of Jet Airways looking turbulent?

Jet Airways on Wednesday said its VP-operations, Sudhir Gaur, who was designated as the airline's 'accountable manager', has quit the company. The grounded airline, which is expected to resume operations this year under its new promoters Murari Lal Jalan-Kalrock consortium, in a regulatory filing clarified that Gaur was not the interim CEO of the company. It also said the Monitoring Committee at its meeting on January 5 has provided its "in-principle approval" to the nomination of Priyapal Singh as the new 'accountable manager' of the company. Jet Airways ceased operations in April 2019. "Sudhir Gaur is not the 'interim CEO' of the company as reported by certain news agencies. Gaur, who recently resigned from the company, was employed in July 2021 as VP- Operations and designated as the 'accountable manager' of the company (for the purposes of the requirements under civil aviation laws and regulations)," Jet Airways said in the filing. It said that the day-to-day operations and ..

The NCLT order, which is public now, provides for a very microscopic settlement for employees, which is pegged at Rs 52 crorE

PNB is the largest shareholder in Jet Airways with 26 per cent stake which it secured after invocation of a pledge in 2019

Kalrock-Jalan consortium proposed a sum of Rs 52 crore to settle admitted employee claims of Rs 1,265 crore

Jalan-Kalrock to pay only Rs 385 crore; NCLT asks govt to make slots available for new owners in order to successfully revive the airline

Further, Ashish Chhawchharia has ceased to be the resolution professional of the airline, according to a regulatory filing

Shares of the defunct airline are up 15.6 per cent in 3 trading sessions as against a 1 per cent gain in the frontline S&P BSE Sensex.

Consortium's plan hinges on historic rights over peak hour slots

The airline has dues of around Rs 8,500 crore.

In a Q&A, the UAE-based acquirer of the bankrupt airline, dwells on the opportunities he sees in restarting it

During the 2019-20 financial year, the airline had a total income of Rs 354.2 crore, the company said in a filing to the BSE