MUMBAI- Go First CEO Kaushik Khona has resigned approximately seven months after the budget airline initiated insolvency proceedings.
In an email to the airline’s staff on Thursday, Khona announced that November 30 would be his last day with the company. Khona had previously rejoined Go First as its CEO in August 2020.
Go First CEO Resigns
“With a sense of sadness, I must convey that today marks my final day with the company. I had the opportunity to rejoin Go FIRST in August 2020, and with the valuable and active support from all of you, I endeavored to perform to the best of my abilities,” Khona shared in the email. Previously, he had been associated with the airline from 2008 to 2011.
“… the Board of Directors made the decision to file a Section 10 application under the IBC, and despite that, we continued to extend the best support to the company… We remained optimistic about resuming operations, aiming for at least June 2023, but unfortunately, the timeline got delayed,” he mentioned in the email accessed by PTI.
Section 10 refers to the voluntary initiation of insolvency proceedings as per the Insolvency and Bankruptcy Code (IBC).
Khona stated that the airline’s entire workforce diligently worked towards obtaining Directorate General of Civil Aviation (DGCA) approval for resuming operations after conducting a comprehensive audit of all operations and aircraft.
“Regrettably, circumstances have not been in our favor despite substantial efforts. For nearly six months, salaries remain unpaid despite numerous pleas and representations to all relevant parties, including the RP, CoC (Committee of Creditors), and the Wadia Group,” he added.
“I had hoped to ensure that all of you received your rightful dues, but I can no longer sustain this, and with a heavy heart, I have decided to step down. I express regret for not achieving resolutions as certain aspects were beyond my control,” Khona mentioned.
Although the company holds significant value, Khona noted that the Resolution Professional (RP) has yet to identify someone capable of advancing its prospects.
Go First halted its operations in early May and voluntarily entered bankruptcy proceedings due to financial challenges, primarily stemming from issues related to Pratt & Whitney engines.
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