[volkman10]

India's Jet Airways resolution plan said to totter on disagreement with creditors.

Last June, a restructuring plan was approved by the National Company Law Tribunal

(NCLT) and the airline was set to resume operations by the first quarter of 2022 under its new owners - a consortium including London-based Kalrock Capital and UAE-based businessman Murari Lal Jalan

Creditors may approach India's Aviation Ministry to seek approval to liquidate Jet's assets if a resolution does not emerge during a critical court hearing

There have been too many delays ... there are concerns the resolution plan may fall apart so we are looking to see if we can at least get something out of this deal via the liquidation route

Lenders believe Jet needs around 10 billion rupees of capital to run its operations in full but it hasn't managed to bring that amount to the table

So far they have only shown that they have received ₹1.5 billion worth of bank guarantees and around ₹200 million which is not adequate to run the operations

Link

[whencut86]

Originally Posted by aashishnb

What goes around comes around....or Karma

Jet was the main reason for Tatas not being able to have an airline for decades, and now perhaps, it may end up the other way round.

There is much more to this tale than just blocking Tata. Can only feel for employees and contractual staff who were owed salaries by the airlines.

Jet and KF in collusion with the Beedi King who was also the Aviation Minister during that time were also instrumental in driving Air India to the state it was before acquisition by Tatas. Just one example - Singapore had only limited number of flights for each country to manage their air traffic. India had 15 per day and all these 15 flights were with Air India. Air India then was profitable and a good airline. Jet and KF though already a defaulter cut deals with Beedi King and the 15 flights to Singapore per day were reduced for Air India and these 2 got 6 each with 3 for Air India. Slowly those 3 also came down to Zero and these went to other private players. KARMA caught up and both KF and Jet are nowhere today but atleast Air India was acquired by Tatas recently. This is just one example for one of the routes. Imagine how many flights on different routes were reduced for Air India and how many flight timings were changed to please these two airlines and how a successful national airline went into bankruptcy because of these decisions.