• Jalan-Kalrock won the bid through an insolvency resolution process for Jet Airways, which ceased operations in early 2019 due to severe funding shortfall. The airline is now preparing to resume services
Mumbai: The Jalan Kalrock Consortium, the new owners of Jet Airways, may move the Supreme Court against the recent National Company Law Appellate Tribunal (NCLAT) order directing the airline to pay provident fund and gratuity dues to the company's employees. has been instructed. The carrier, which is preparing to resume operations.
The NCLAT also rejected the consortium's plea to limit the payment liability to ₹475 crore under the approved resolution plan.
The appellate tribunal had earlier directed the new owner to pay the unpaid provident fund dues accepted by the resolution professional after allowing petitions submitted by the workers' union, aircraft maintenance engineers, officers and employees union, and others.
Jalan-Kalrock won the bid through an insolvency resolution process for Jet Airways, which ceased operations in early 2019 due to severe fund crunch. The airline is now preparing to resume services.
The court has asked the former resolution professional to calculate the payment to be made to the workmen and employees within a month from December 2, as well as inform the consortium for necessary payment of dues.
The Jet Airways Cabin Crew Association (JACCA) on Tuesday filed a liquidation application before the Mumbai Bench of the National Company Law Tribunal (NCLT), seeking liquidation of the assets of Jet Airways on the ground that the resolution plan has been violated . Any further delay in the liquidation process, the association said, would further reduce the asset value of the debt-laden airline.
The counsel representing the association submitted that there has been a clear violation of the resolution plan by the successful resolution applicant.
As per the plan, the successful resolution applicant was to pay ₹52 crore in 175 days from the effective date of May 20. An additional ` 61 crore was also to be paid. However, 200 days have passed, and the total amount of ₹113 crore is yet to be paid.
In this regard, the NCLAT in its order said that the entire dues of Rs 113 crore mentioned in Form H (Draft Plan), apart from provident fund and gratuity, are to be paid to the workers.
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