Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer
Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Jet Airways' Rebirth Faces Ownership Hurdle
Jet Airways' revival plan faces a fresh obstacle as the Supreme Court scrutinizes the ownership transfer to the Jalan-Kalrock Consortium.
Lenders have challenged the encashment of a bank guarantee provided by the consortium, which could further delay the airline's comeback after its collapse in 2019.
The revival hinges on Jet Airways securing an air operator's certificate and completing the ownership transfer within a 90-day timeline, but the lenders' resistance to the previously approved resolution plan poses an additional hurdle.
The ownership transfer of Jet Airways to the Jalan-Kalrock Consortium has been approved by a tribunal, but lenders have now challenged the encashment of a bank guarantee provided by the consortium, creating a fresh obstacle to the airline's revival.
Jet Airways' ability to reclaim its operational control and secure an air operator's certificate is a critical milestone in its comeback plan, which is now threatened by the latest legal dispute.
The Supreme Court's scrutiny of the ownership transfer process could potentially lead to further delays or complications in Jet Airways' anticipated return to the skies, according to industry experts.
Interestingly, the revival attempts of Jet Airways have been marked by persistent disputes over payment issues with its creditors, underscoring the complex financial landscape the airline must navigate.
Remarkically, the latest development in the Supreme Court signals a potential breakthrough in the revival process, even as it introduces a new hurdle that could derail the airline's comeback plans.
Intriguingly, the outcome of the Supreme Court's scrutiny remains uncertain at this stage, leaving the future of Jet Airways' revival plan hanging in the balance.
What else is in this post?
- Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Jet Airways' Rebirth Faces Ownership Hurdle
- Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Supreme Court Scrutinizes Jalan Kalrock Consortium's Takeover
- Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Lenders Challenge Jet Airways' Revival Plan
- Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Financial Creditors Raise Concerns Over Aircraft Transfer
- Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Legal Battle Looms Over Jet Airways Ownership Tussle
- Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Airline's Revival Hits Fresh Turbulence Amidst Court Intervention
Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Supreme Court Scrutinizes Jalan Kalrock Consortium's Takeover
The Supreme Court of India has taken up an appeal filed by the State Bank of India-led consortium challenging the NCLAT's approval of the Jalan Kalrock Consortium's (JKC) takeover of Jet Airways.
The Court has issued a notice to Jet Airways and JKC, indicating its willingness to examine the transfer of ownership to the consortium, which had already completed a significant capital infusion into the airline.
This latest development poses a fresh hurdle in the long-drawn revival process of Jet Airways, as the Supreme Court's scrutiny could potentially delay or complicate the airline's anticipated comeback.
The Supreme Court's scrutiny of the Jalan Kalrock Consortium's takeover of Jet Airways is a critical juncture in the airline's revival efforts, as the court is examining an appeal filed by the State Bank of India-led consortium challenging the National Company Law Appellate Tribunal's (NCLAT) order that allowed the transfer of ownership.
The Jalan Kalrock Consortium has faced a setback as the Supreme Court has rejected its plea against the sale of three of Jet Airways' assets, a move that could further delay the airline's comeback.
Interestingly, the Jalan Kalrock Consortium has already completed its commitment to infuse 350 billion rupees (14 million) into Jet Airways as part of the resolution plan, demonstrating its financial commitment to the revival.
The next hearing in the bankruptcy court is scheduled for November 29, 2024, and the Jalan Kalrock Consortium is evaluating its options, including approaching the Supreme Court if the issues are not resolved through bilateral discussions.
The Supreme Court's decision to issue a notice to Jet Airways and the Jalan Kalrock Consortium in response to the SBI-led consortium's petition suggests a thorough examination of the ownership transfer process.
Remarkably, the NCLAT had previously approved the transfer of Jet Airways' ownership to the Jalan Kalrock Consortium in March 2024, instructing lenders to finalize the transfer within 90 days, but the SBI-led consortium has now challenged this decision.
Intriguingly, the Supreme Court's scrutiny of the ownership transfer process could potentially lead to further delays or complications in Jet Airways' anticipated return to the skies, according to industry experts.
Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Lenders Challenge Jet Airways' Revival Plan
The lenders of Jet Airways have approached the Supreme Court, challenging a previous order that allowed the Jalan-Kalrock Consortium to encash a bank guarantee towards the payment of outstanding dues.
The Committee of Creditors has told the Supreme Court that it might be better for the airline to be wound up since the Successful Resolution Applicant has not paid any money even two years after its resolution plan was approved.
The lenders, led by the State Bank of India, are resisting the court-approved resolution plan, further delaying the airline's return to the skies.
The lenders, led by the State Bank of India, have alleged that the Jalan-Kalrock Consortium did not comply with the requirements of the Insolvency and Bankruptcy Code (IBC) when submitting its revival plan.
The Supreme Court has ordered the Directorate General of Civil Aviation (DGCA) to verify the eligibility of the Jalan-Kalrock Consortium to operate the airline, adding an additional layer of scrutiny to the ownership transfer.
Despite the Jalan-Kalrock Consortium claiming to have sufficient funds for Jet Airways' revival, the lenders argue that the consortium did not provide a viable revival plan and did not fulfill the conditions of the bidding process.
Remarkably, the resolution plan submitted by the Jalan-Kalrock Consortium secured over 99% of the votes from the Committee of Creditors (CoC), yet the lenders are still challenging the court-approved plan.
Intriguingly, the Supreme Court's scrutiny of the ownership transfer process could potentially lead to further delays or complications in Jet Airways' anticipated return to the skies, according to industry experts.
Lenders are resisting the National Company Law Appellate Tribunal's (NCLAT) order that allowed the Jalan-Kalrock Consortium to encash a bank guarantee of 15 billion towards the payment of 35 billion, further complicating the revival plan.
The Supreme Court has directed the Jalan-Kalrock Consortium to provide a detailed revival plan, including timelines and financial commitments, as part of its examination of the ownership transfer.
Interestingly, the Jalan-Kalrock Consortium has already completed its commitment to infuse 350 billion rupees (14 million) into Jet Airways as part of the resolution plan, demonstrating its financial commitment to the revival.
Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Financial Creditors Raise Concerns Over Aircraft Transfer
The revival of Jet Airways faces fresh challenges as financial creditors, led by the State Bank of India, have raised concerns over the transfer of ownership to the Jalan-Kalrock Consortium.
The creditors have expressed disapproval of the revival plan, stating that it does not provide adequate recovery for their dues, and they may approach the Aviation Ministry to seek approval to liquidate Jet's assets if a resolution is not reached.
Despite the National Company Law Appellate Tribunal's directive to expedite the ownership transfer and secure an air operator's certificate within 90 days, the disagreements between the creditors and the new owners have put the airline's future in limbo, with the Supreme Court now scrutinizing the ownership transfer process.
The State Bank of India-led consortium of financial creditors has challenged the NCLAT's approval of the Jalan-Kalrock Consortium's takeover of Jet Airways, citing inadequate recovery of their dues.
Despite the NCLAT's directive to complete the ownership transfer within 90 days, the Supreme Court's scrutiny of the process has introduced a new hurdle that could potentially delay Jet Airways' revival.
Remarkably, the Jalan-Kalrock Consortium has already infused 350 billion rupees (around $14 million) into Jet Airways as part of the resolution plan, demonstrating its financial commitment to the airline's revival.
Interestingly, the NCLAT had previously approved the transfer of Jet Airways' ownership to the Jalan-Kalrock Consortium, but the SBI-led consortium has now challenged this decision in the Supreme Court.
The Supreme Court has directed the Directorate General of Civil Aviation (DGCA) to verify the eligibility of the Jalan-Kalrock Consortium to operate Jet Airways, adding an additional layer of scrutiny to the ownership transfer.
Intriguingly, the lenders have alleged that the Jalan-Kalrock Consortium did not comply with the requirements of the Insolvency and Bankruptcy Code (IBC) when submitting its revival plan, further complicating the ownership transfer.
Surprisingly, despite the Jalan-Kalrock Consortium's resolution plan securing over 99% of the votes from the Committee of Creditors (CoC), the lenders are still challenging the court-approved plan.
The Supreme Court's scrutiny of the ownership transfer process could potentially lead to further delays or complications in Jet Airways' anticipated return to the skies, according to industry experts.
Remarkably, the lenders have suggested that it might be better for Jet Airways to be wound up since the Jalan-Kalrock Consortium has not paid any money even two years after its resolution plan was approved.
Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Legal Battle Looms Over Jet Airways Ownership Tussle
The Jalan Kalrock Consortium's (JKC) takeover of Jet Airways has faced another hurdle as the Supreme Court has taken up an appeal filed by the State Bank of India-led consortium challenging the National Company Law Appellate Tribunal's (NCLAT) approval of the ownership transfer.
The Supreme Court's scrutiny of the ownership transfer process could potentially delay or complicate Jet Airways' anticipated comeback, as the court examines the eligibility of JKC to operate the airline and the lenders' allegations that the consortium did not comply with the Insolvency and Bankruptcy Code requirements.
Despite JKC's commitment to infuse significant capital into Jet Airways, the legal battle over the ownership transfer continues to cast uncertainty over the airline's revival plans.
The Supreme Court has taken up an appeal filed by the State Bank of India-led consortium challenging the NCLAT's approval of the Jalan Kalrock Consortium's (JKC) takeover of Jet Airways, indicating its willingness to examine the transfer of ownership.
The JKC has already completed its commitment to infuse 350 billion rupees (around $14 million) into Jet Airways as part of the resolution plan, demonstrating its financial commitment to the airline's revival.
Remarkably, the NCLAT had previously approved the transfer of Jet Airways' ownership to the JKC in March 2024, instructing lenders to finalize the transfer within 90 days, but the SBI-led consortium has now challenged this decision.
Intriguingly, the lenders have alleged that the JKC did not comply with the requirements of the Insolvency and Bankruptcy Code (IBC) when submitting its revival plan, further complicating the ownership transfer.
Surprisingly, despite the JKC's resolution plan securing over 99% of the votes from the Committee of Creditors (CoC), the lenders are still challenging the court-approved plan.
The Supreme Court has ordered the Directorate General of Civil Aviation (DGCA) to verify the eligibility of the JKC to operate Jet Airways, adding an additional layer of scrutiny to the ownership transfer.
Remarkably, the lenders have suggested that it might be better for Jet Airways to be wound up since the JKC has not paid any money even two years after its resolution plan was approved.
Interestingly, the NCLAT had previously approved the transfer of Jet Airways' ownership to the JKC, but the SBI-led consortium has now challenged this decision in the Supreme Court.
The Supreme Court's scrutiny of the ownership transfer process could potentially lead to further delays or complications in Jet Airways' anticipated return to the skies, according to industry experts.
Intriguingly, the JKC has evaluated its options, including approaching the Supreme Court if the issues are not resolved through bilateral discussions, as the next hearing in the bankruptcy court is scheduled for November 29,
Jet Airways Revival Faces Fresh Turbulence as Supreme Court Scrutinizes Ownership Transfer - Airline's Revival Hits Fresh Turbulence Amidst Court Intervention
Jet Airways' revival plan has hit fresh turbulence as the Supreme Court scrutinizes the ownership transfer to the Jalan-Kalrock Consortium.
Lenders, led by the State Bank of India, have raised concerns about the funding of the plan and have approached the court to challenge the encashment of a bank guarantee provided by the consortium, further delaying the airline's comeback.
Despite the consortium's commitment to infuse significant capital, the legal battle over the ownership transfer continues to cast uncertainty over Jet Airways' revival plans.
The Jalan-Kalrock Consortium has already completed its commitment to infuse 350 billion rupees (around $14 million) into Jet Airways as part of the resolution plan, demonstrating its financial commitment to the airline's revival.
The State Bank of India-led consortium of financial creditors has challenged the NCLAT's approval of the Jalan-Kalrock Consortium's takeover of Jet Airways, citing inadequate recovery of their dues.
The Supreme Court has directed the Directorate General of Civil Aviation (DGCA) to verify the eligibility of the Jalan-Kalrock Consortium to operate Jet Airways, adding an additional layer of scrutiny to the ownership transfer.
Remarkably, the Jalan-Kalrock Consortium's resolution plan secured over 99% of the votes from the Committee of Creditors (CoC), yet the lenders are still challenging the court-approved plan.
The lenders have alleged that the Jalan-Kalrock Consortium did not comply with the requirements of the Insolvency and Bankruptcy Code (IBC) when submitting its revival plan, further complicating the ownership transfer.
Intriguingly, the NCLAT had previously approved the transfer of Jet Airways' ownership to the Jalan-Kalrock Consortium, but the SBI-led consortium has now challenged this decision in the Supreme Court.
Surprisingly, the lenders have suggested that it might be better for Jet Airways to be wound up since the Jalan-Kalrock Consortium has not paid any money even two years after its resolution plan was approved.
The Supreme Court's scrutiny of the ownership transfer process could potentially lead to further delays or complications in Jet Airways' anticipated return to the skies, according to industry experts.
Remarkably, the Jalan-Kalrock Consortium has evaluated its options, including approaching the Supreme Court if the issues are not resolved through bilateral discussions.
Interestingly, the NCLAT had previously approved the transfer of Jet Airways' ownership to the Jalan-Kalrock Consortium, instructing lenders to finalize the transfer within 90 days, but the SBI-led consortium has now challenged this decision.
The Supreme Court has ordered the Jalan-Kalrock Consortium to provide a detailed revival plan, including timelines and financial commitments, as part of its examination of the ownership transfer.