Singapore Arbitral Tribunal Directs Pratt & Whitney To Supply Engines To Go First

A Singapore arbitral tribunal has directed Pratt and Whitney to supply five engines every month to insolvent carrier Go First from August till December.

The tribunal asked the parties involved to provide it with quarterly updates on the resolution proceedings and compliance with their order.

A Pratt and Whitney spokesperson said the engine-maker "respects the interim arbitration ruling" and will "comply with the order until it is otherwise modified". "We look forward to vigorously defending ourselves during the merits proceedings, where the business and legal issues will be determined and resolved."

On March 13, Go Airlines filed an appeal with the Singapore International Arbitration Centre, or SIAC, against Pratt and Whitney, alleging that the engine-maker had failed to comply with their arbitral award.

On March 31, SIAC issued an interim relief order directing P&W to dispatch at least 10 serviceable spare leased engines without delay by April 27 and another 10 such engines per month until December.

The order was issued in response to Go First's claim that the engine delays had caused significant financial losses and had forced the airline to ground many aircraft. However, the relief arising out of that order is replaced by this current order.

Go First, an Indian low-cost airline, ceased operations on May 2 and filed for insolvency proceedings with the National Company Law Tribunal.

The airline's decision was prompted by cash-flow problems and the grounding of more than half of its 54 aircraft due to engine supply issues from the American engine maker.