Company Law Tribunal To Hear Go First’s 2 Insolvency Petitions Next Week

New Delhi:

As Go First awaits the NCLT ruling on its voluntary insolvency resolution plea, the tribunal is set to hear on Monday two petitions seeking insolvency proceedings against the crisis-hit airline.

With liabilities of Rs 11,463 crore and a financial crunch, the Wadia group-owned airline has sought voluntary insolvency resolution proceedings as well as an interim moratorium on financial obligations.

After hearing the plea on Thursday, the National Company Law Tribunal (NCLT) reserved its order.

The tribunal is set to hear two insolvency petitions filed against the airline on Monday, according to lawyers.

The petition filed by SS Associates Services Pvt Ltd, which was providing transport services to the carrier, is with respect to a claim of around Rs 3 crore.

A pilot has also filed a petition claiming dues for his services provided to the airline. The amount involved is more than Rs 1 crore. The two petitions are scheduled to be heard by the Principal Bench of the NCLT.

Go First, in its petition filed before the tribunal on May 2, sought directions to restrain aircraft lessors from taking any recovery action as well as restrain aviation watchdog DGCA and suppliers of essential goods and services from initiating adverse actions.

Another request is that the Directorate General of Civil Aviation (DGCA), Airports Authority of India (AAI) and private airport operators should not cancel any departure and parking slots allotted to the company.

The airline also wants fuel suppliers to continue supply for aircraft operations and not terminate the present contractual arrangements.

Go First has cancelled all flights till May 12.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)