According to two bankers who are familiar with the matter, lenders of Go Airlines (India) Ltd are expected to convene on Wednesday to deliberate on the next steps to be taken following the airline’s filing for bankruptcy on Tuesday.
Go First
On Wednesday, the Directorate General of Civil Aviation (DGCA), India’s aviation regulator, issued a show cause notice to Go First Airlines, the country’s low-cost carrier.
According to sources familiar with the matter, Go First, a budget airline, has temporarily halted its flights for the next two days due to fleet problems and financial constraints.
The outlook of Go First seems harsh as it is not able to pay the salaries on-time due to fleet grounding and tension at management level.
Go First denies a report that its promoters intend to exit the aviation business | Exclusive
Go First intends to file a lawsuit against Raytheon Technologies, a major US aerospace company and the manufacturer of Pratt & Whitney (PW) engines.
Indian airlines are experiencing a plane shortage at a time when demand for air travel in India is increasing. 108 aircraft are currently grounded across six Indian ships as a result of supply chain difficulties and a lack of engine spares.
More than 50 IndiGo and Go First aircraft are grounded due to engine issues
Go First issues a show cause notice from the DGCA for leaving 55 passengers at the airport in Bengaluru
Go First launched 42 direct flights from the new Goa international airport in January