Jet Airways: Jalan Kalrock Consortium Seeks Clarity On Ownership

The consortium says arguments should take place to get a finality on the resolution plan.

<div class="paragraphs"><p>Jet Airways aircraft. (Source: Company website)</p></div>
Jet Airways aircraft. (Source: Company website)

The Jalan Kalrock Consortium asked the National Company Law Appellate Tribunal on Friday to give some clarity on its NCLT-approved ownership of Jet Airways Ltd.

The move came after the committee of creditors, led by State Bank of India, filed an appeal against the National Company Law Tribunal's order. 

The consortium argued that it had an approved revival plan in place, but the creditors were creating hindrance in commencing operations by initiating litigation before different forums. The JKC said that even though it had the licence for over a year before it expired, it could not utilise it because of the Committee of Creditors.

In response, SBI submitted that the consortium had not infused any funds in the debt-ridden airline yet and it did not comply with any of the conditions precedent for the transfer of ownership. The creditor argued that the approved resolution plan was not viable and would not be able to revive the airline. 

Assistant Solicitor General N Venkataraman also said Jet Airways did not have the renewed air operator’s certificate after it expired in May. The AOC is a licence that needs to be approved by the Directorate General of Civil Aviation so that an airline can operate the aircraft.

The consortium said there needs to be some clarity on the issue and arguments should take place in the matter to get a finality on the resolution plan.

The NCLAT has accordingly agreed to hear the oral arguments on Aug. 7.

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