MUMBAI- Wadia-owned Indian ULCC, Go First (G8), is facing financial challenges and has appealed to the DGCA to refrain from suspending or revoking the Air Operator’s Permit (AOP) to prevent the airline from collapsing.
Assuring the Indian Aviation Regulator, Kaushik Khona, the Go First Airlines CEO, clarifies that the airline’s application for insolvency was not due to an inability to operate safely but rather to address debt-related issues.
Additionally, Go First emphasizes that it possesses sufficient cash reserves to sustain its operations.
Go First Appeal DGCA to Not Revoke AOP
According to reliable Hindu business line sources within the DGCA, Go First has responded to the show-cause notice issued by the regulatory body.
In its response, the airline clarified that its decision to file for insolvency. It was not a result of its inability to operate but rather aimed at addressing debt-related issues. Further ensuring the uninterrupted operation of its aircraft.
To support its position, Go First cited examples of global airlines like American and Pinnacle Airlines that successfully resumed operations after filing for insolvency.
The source stated, “The airline has expressed its intention to resume operations as soon as possible. They have expressed confidence in their ability to do so.”
Additionally, Go First stressed to the DGCA the significance of not cancelling the airline’s Air Operator’s Permit (AOP). Doing so would undermine the National Company Law Tribunal’s (NCLT) purpose. Furthermore, it could potentially result in the airline’s downfall.
The company emphasized that it has been diligently maintaining its aircraft to guarantee its airworthiness and operational readiness. A reputable official confirmed this commitment to maintenance.
G8 Official met DGCA over Revival Plans
According to a source, senior executives of Go First (G8), currently undergoing an insolvency resolution process, held discussions with officials from the Directorate General of Civil Aviation (DGCA) on Monday to outline their plans for the airline’s revival.
The meeting occurred in Delhi and came after the DGCA’s recent request for Go First. To submit its revival plan within a 30-day timeframe following the airline’s grounding.
According to an anonymous source, the DGCA called the entire management team of Go First for a meeting on Monday to discuss the airline’s plan for resuming operations. Subsequently, the team presented a roadmap outlining their strategy for reviving Go First’s operations.
Without providing specific information, the source mentioned that all stakeholders are eager to witness the airline’s resurgence.
“The airline will soon announce its plan for the future. It is moving in the right direction,” the source stated. Currently, the airline has temporarily halted operations until May 30.
The source suggested that the suspension of flights would be prolonged by a few additional days. Since the DGCA will require time to reach a final decision on the submitted revival plan.
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