Go First Airline Chief Executive Officer Kaushik Khona on Wednesday said the airline was grateful for the entire process of NCLT and noted that this is in line with the spirit of the Insolvency and Bankruptcy Code (IBC)
Go First Chief Executive Officer Kaushik Khona said after NCLT decision, "This is a historic ruling as an application of insolvency has been admitted so fast. The order prevents a viable airline from becoming an unviable one. The purpose of IBC has always been revival."
The NCLT, the President Justice Ramalingam Sudhakar and technical member LN Gupta announced the order, adding, "We appoint Abhilash Lal as IRP (Insolvency Resolution Professional). Suspended board of directors will cooperate with the IRP."
Go First which filed insolvency application has a fleet of 55 aircraft and DGCA has received deregistration request for 45 aircraft. Half of them have been grounded for months due to engine problems.
According to a tweet, the minister assured to look into the same and also agreed to include TAAI in the aviation task force, which is being setup. TAAI President Mayal also impressed upon the Minister to have insurance cover on all tickets.
The Directorate General of Civil Aviation (DGCA) issued a show cause notice to Go First under the relevant provisions of the Aircraft Rules, 1937, for their failure to continue the operation of the service in a safe, efficient and reliable manner on Monday.
The National Company Law Tribunal (NCLT) on Monday issued notice to low-cost airline Go First on a petition filed by a pilot regarding his dues, as the beleaguered carrier seeks an early decision on its voluntary insolvency resolution plea.
The airline operator has been asked to submit their reply within 15 days of the receipt of the notice, and further decision on the continuation of their Air Operators Certificate (AOC) will be taken on the basis of the reply submitted by them.
"We are reserving the order," said the NCLT two-judge bench of the Delhi office, headed by Justice Ramalingam Sudhakar, and a technical member LN Gupta.