National Company Law Tribunal Asks Go First To Provide Aircraft Maintenance Data in 10 Days
Aug. 4—NEW DELHI — The National Company Law Tribunal (NCLT) today asked the Go First management to submit a maintenance report of aircraft along with additional affidavits within the next 10 days. The NCLT's observation came during the hearing of a plea of aircraft and engine lessors on Friday.
Aircraft lessors of Go First sought a report on the maintenance of their assets from the airline, and informed the court about the resolution professional's (RP's) neglect of the aircraft maintenance and duties, on which the RP quested for more time to file a reply.
Senior Lawyer Ramji Srinivasan, representing the RP, also mentioned that the lessors had "engaged the airline in different fora" and that "far too many developments had taken place". According to the RP, one of the lessors, which didn't receive a reply from the NCLT, has moved the Delhi High Court to restrict the airline from conducting maintenance and operations. Additionally, another lessor has approached National Company Law Appellate Tribunal (NCLAT) to challenge the interim order that allowed the airline to resume flying.
The NCLT's order dated July 27 permitted Go First to use ground-leased aircraft and resume operations. The tribunal stated in its order that the civil aviation regulator, Directorate General of Civil Aviation (DGCA), has not deregistered the aircraft, implying that they are available for the airline to resume operations.
Meanwhile, the hearing is underway in Delhi High Court in front of a single bench judge, regarding the plea of the lessors to deregister the aircraft. The airline has already moved to the Supreme Court against the Delhi High Court division bench's order that upheld the single bench order and allowed the lessors to inspect the parked aircraft.
Go First has also approached the NCLT to refund passengers who had booked advance tickets starting from 3 May, when the company filed for insolvency. The tribunal has issued notice to the Committee of Creditors (COC) and will address the matter on 7 August.
On 10 May, the principal bench of the NCLT in Delhi had accepted Go First's voluntary plea to initiate an insolvency resolution process. Consequently, the tribunal appointed an Insolvency Resolution Professional (IRP), suspended the board, and imposed a moratorium on the airline's financial obligations.
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Updated: 04 Aug 2023, 07:09 PM IST
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