The Jalan Kalrock Consortium (JKC), the successful bidder for Jet Airways, encountered challenges in its efforts to revive the grounded airline, the consortium claimed. On July 28, the consortium informed the National Company Law Appellate Tribunal (NCLAT) that the Committee of Creditors (CoC) was impeding their ability to commence operations, despite having obtained all required government permissions.

JKC asserted that it possessed the Air Operator’s Certificate (AOC) for 2022-23, necessary for resuming operations. However, the CoC raised objections to the ownership transfer at multiple stages, preventing JKC from initiating the revival process. The matter was brought before the NCLAT for resolution.

ALSO READ | Jalan Kalrock consortium claims sufficient funds for Jet Airways revival amid employee scepticism

Representing the consortium, Senior Advocate Krishnendu Dutta argued for a conclusive decision on their ownership, expressing concern that valuable slots allocated to them might be reassigned if operations did not begin promptly.

In response, ASG Venkatraman, appearing for the CoC, stated that while the NCLAT had permitted the ownership transfer based on certain conditions, JKC had failed to fulfill any of them. Moreover, the validity of the AOC was nearing its expiration, raising uncertainty about its renewal by the Directorate General of Civil Aviation (DGCA). Due to alleged non-compliance with obligations, the CoC had sought the liquidation of Jet Airways through the Supreme Court.

Following both parties’ presentations, the NCLAT agreed to initiate a hearing on August 7 to resolve the ownership issue and facilitate Jet Airways’ potential revival. JKC expressed concerns about DGCA’s litigation against them in various forums, further contributing to uncertainty around their plans.

Related Topics