NEW DELHI: Jet Airways' insolvency case has witnessed a new development as the National Company Law Appellate Tribunal (NCLAT) granted an extension until September 30 to the Jalan-Kalrock Consortium. This consortium is responsible for paying a sum of Rs 350 crore to the lenders of the defunct Jet Airways.
In response to the consortium's request for an extended timeline, the three-member NCLAT bench approved the plea. Additionally, there was a proposal to deduct Rs 150 crore from the performance bank guarantee (PBG) to offset a portion of the Rs 350 crore payment.
To fulfill their commitment, the consortium has provided a pledge to the appellate tribunal. This commitment outlines a payment of Rs 100 crore by August 31, 2023, followed by another Rs 100 crore by September 30, 2023. For the remaining Rs 150 crore, the consortium has sought the encashment of the PBG submitted specifically for this purpose.
The Jalan-Kalrock Consortium had emerged as the successful bidder for the airline, which ceased its operations in April 2019 and later underwent insolvency resolution proceedings. Despite the consortium's victory in the bidding process, the transfer of ownership has been delayed due to ongoing disagreements between the lenders and the consortium.
It's worth noting that the NCLAT's decision has yet to be uploaded onto the NCLAT website. Previously, the consortium was expected to complete the Rs 350 crore payment to the lenders by August 31, but they had requested an extension, which the NCLAT had reserved its order on last Monday.
Singapore Airlines to Launch First Flight from Bangalore Airport's Terminal 2
