New Delhi: The lessors of 54 GoAir aircraft grounded since May last year on Friday directed the Directorate General of Civil Aviation (DGCA) to cancel the registration of these aircraft on multiple grounds within the Supreme Court’s maximum period of 5 days Work.
Reviving Go Air under the IBC is now a tougher task. That’s because Tata-owned Air India and cash-strapped IndiGo have asked lenders to buy about 15 Airbus A320 family aircraft that could soon be ready to fly. Planes have to wait to receive stuck engines and spare parts from Pratt & Whitney as IndiGo has been waiting for months with more than 75 aircraft unable to receive them.
A consortium led by Nishant Pitti, which also includes SpiceJet managing director Ajay Singh (in his personal capacity), wants to revive GoAir under IBC with plans for 15 flyable aircraft and is also planning to negotiate with lenders, sources said. There will be a choice between AI/IndiGo and a SpiceJet-affiliated consortium, but it remains to be seen which the lender will choose if it actually decides to keep the aircraft in India.
Delhi HC judge Tara Vitastha Ganju on Friday allowed the lessor to keep the long-haul aircraft until it is deregistered and exported under Indian law. “The respondent DGCA and the Airports Authority of India (AAI) will assist the petitioner landlord and provide access to the airport…,” the court said.
GoAir Resolution Professionals (RPs) and airlines are prohibited from accessing, boarding and operating aircraft. We also do not remove or replace any accessories, spare parts, documents or records from the aircraft.
“It is a big win for lenders who did not get any relief from the extension of moratorium period (of Go assets) by NCLT,” said Nitin Sarin, managing partner at law firm Sarin & Co., which specializes in aviation matters You RP. The lender had challenged the statute of limitations because it was terminated before the statute of limitations (lease agreement) was granted.”
“Once we receive the official documents, we will review the details of the order and consider any necessary changes to our offering to GoAir in line with our strategic objectives,” said Nishant Pitti at X.
Officials said the Pitti-led consortium is keen to expedite the settlement process to initiate arbitration between GoAir and PW in Singapore, which is likely to benefit them greatly. Due to the failure of the Airbus A320 PW engine and the inability to provide replacement engines in a timely manner, the airline has been grounded for several months. Anyone who carried the airline could receive the proceeds of the arbitration.
Ajay Singh needs money to keep SpiceJet afloat and taking over operational management of a revived GoAir could be a lifeline.