facebook
News Formerly-Grounded Jet Airways Prepares To Fly Once Again
Advertisement

Formerly-Grounded Jet Airways Prepares To Fly Once Again

Jet Airways, once the largest airline in India, is making a comeback almost two years after suspending operations due to bankruptcy.

Advertisement

By: Meenakshi Maidas Published: Jun 23, 2021 02:38 PM IST

Formerly-Grounded Jet Airways Prepares To Fly Once Again
Photo Courtesy: Shutterstock

Jet Airways, once the largest airline in India, is making a comeback almost two years after suspending operations due to bankruptcy. By Meenakshi Maidas

 

View this post on Instagram

 

A post shared by Jet Airways (@jetairways)

The National Company Law Tribunal (NCLT) has approved the Kalrock–Jalan Consortium’s Jet Airways revival plan reports Business Today. The UK-based financial advisory and asset management firm, Kalrock Capital, and UAE-based entrepreneur Murari Lal Jalan had earlier won the bid in October 2020 to restart operations.

According to the report, the consortium plans to restart operations with 30 aircrafts. Jet Airways already has 11 aircrafts currently, and the consortium intends to take it up to 120—with a mix of domestic, international and cargo aircrafts—within five years, reports media

The consortium pushed for historicity to reclaim the airline’s slots, which had been given to airlines like IndiGo, SpiceJet, Go First (formerly GoAir) and more in the last two years. But the tribunal rejected Jet Airways’ demand. The tribunal stated that the Director-General of Civil Aviation (DGCA) and the Ministry of Civil Aviation (MoCA) would decide the slots, and have now given the government 90 days to decide the same, states CNBCTV18. Notably, an airline slot is a permission granted by the airport operator to an airline to take off or land. The report also states that Ashish Chhawchharia, an insolvency resolution professional of the airline, says that the slot constraints are only for Level 3 airports.

 

View this post on Instagram

 

A post shared by Jet Airways (@jetairways)

Citing an official statement issued by the Kalrock-Jalan Consortium, CNBCTV18 reports that the consortium awaits the tribunal’s order, and will reveal the next steps to their stakeholders accordingly. They also thanked well-wishers, customers, creditors and advisors for their support and persistence.

The consortium has agreed to repay almost INR 1,200 crore to creditors and employees over the course of five years, which contrasts the INR 15,432 crore-worth claims from creditors, reports The Hindu.

Jet Airways had suspended its services in 2019, citing an increase in losses and unavailability of funds to purchase fuel as lenders rejected emergency funding. But if you are planning a summertime getaway soon, Jet Airways might be ready to fly you out to your destination!

Editor’s Note: Keeping the current situation of the pandemic in mind, T+L India recommends every reader to stay safe, and take all government-regulated precautions in case travel at this time is absolutely necessary. Please follow our stories on COVID-19 for all the latest travel guidelines.

Related: This Is What Happens To Aircrafts When They Are Grounded Due To COVID-19

Written By

Meenakshi Maidas

Meenakshi Maidas

Never miss an update

Subscribe to our newsletter to get the latest on travel, stay & dining.

No Thanks
You’re all set

Thank you for your subscription.