Twitter; @the_news_21
Flying high with hopes for a post-pandemic recovery, Go First was jostled by headwinds including an engine shortage, forcing it to reach out to the National Company Law Tribunal for a parachute by declaring voluntary insolvency. The airline which could’ve crashed if lessors had repossessed their aircraft from its fleet, managed to break its fall thanks to NCLT’s order preventing that from happening.
But more than a month after Go First canceled its flights, resolution professional Shailendra Ajmera has asked for Rs 425 crore from financiers to revive the grounded airline.
The amount sought by Ajmera may further go up, if factors such as the availability of engines and refund for ticket cancellations are taken into account.
He tabled the proposal for the funds during a meeting with the committee of creditors earlier this week.
Although the revival plan has received a nod from the Directorate General of Civil Aviation, Ajmera requires adequate funds in order to propel it back into the Indian airspace.
As Go First struggles and SpiceJet also faces insolvency pleas, IndiGo may enjoy a duopoly in the aviation sector alongside Air India that will soon absorb Vistara and Air Asia.
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