DELHI- According to the lawyer representing Ace Aviation, the JKC, in the resolution plan, stated it had no interest in holding back the grounded aircraft of Jet Airways (9W).
The lawyer also informed the court that they have already released ₹50 crores and brought the remaining ₹350 crore out of the total ₹400 crore for the aircraft purchase.
He also pleaded that the asset’s valuation of the parked aircraft is declining due to the ongoing deadlock between the lenders and consortium.
Jet Airways Aircraft Sale Blocked by JKC
As per the attorney representing Ace Aviation, the Jalan Kalrock Consortium (JKC) had explicitly mentioned in the resolution plan that it had no intention of retaining the grounded aircraft.
The legal counsel further informed the court that they had already disbursed ₹50 crores and had procured the remaining ₹350 crore out of the total ₹400 crore required for the aircraft acquisition.
The attorney also appealed, highlighting that the valuation of the idle aircraft is dwindling due to the persistent impasse between the lenders and the consortium.
The petitioner urged the court to issue a notice to Jalan Kalrock. However, the request was declined, with the explanation that the objective was to resolve the ownership dispute between the creditors and Jalan Kalrock Consortium (JKC) by the conclusion of August.
The tribunal has scheduled the next hearing for September 6th.
Following the rejection of its plea for aircraft acquisition permission by the NCLT Mumbai bench in July, Ace Aviation turned to the NCLAT for recourse.
The NCLT’s ruling stated that permitting or restraining the aircraft sale could potentially lead to reevaluating the duly approved resolution plan.
Given that the lenders have suspended the sale process and the monitoring committee, it falls upon them to address the deadlock that has emerged subsequent to the approval of the resolution plan.
CoC Challenged Transfer of Ownership
The Letter of Intent issued by the company for the acquisition of the grounded Jet Airways aircraft received endorsement from the Committee of Creditors (CoC).
However, its implementation was suspended due to the ongoing legal dispute between the Jalan Kalrock Consortium and the creditors.
Meanwhile, the CoC has contested the transfer of ownership to the Jalan Kalrock Consortium.
In an NCLAT session on August 7th, the CoC disclosed that it had requested the Jalan Kalrock Consortium to remit the sum of 350 crore by August 31st. It also indicated that it might retract the appeal if this precondition is not met.
On July 5th, the CoC escalated the matter to the Supreme Court, suggesting that it might be judicious to liquidate the airline.
This was predicated on the fact that the CoC had not received any repayment, nor had any funds been infused into the debt-ridden airline.
The lenders themselves have contributed around ₹400 crore from public funds to cover airport dues and other obligations.
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