38.6c New Delhi, India, Monday, April 29, 2024
Business

Delhi HC issues contempt notice to bankrupt Go First airline's resolution professional

By Shreya Agarwal      12 March, 2024 06:23 PM      0 Comments
Delhi HC issues contempt notice to bankrupt Go First airlines resolution professional

NEW DELHI: The Delhi High Court has issued a contempt of court notice to the resolution professional (RP) of Go First airline, for disobedience of orders on allowing inspection and maintenance of Go First’s lessors' aircrafts. 

"Prima facie, the orders of this court have been wilfully disobeyed by the respondent/ RP. Issue notice to show cause as to why proceedings of contempt be not initiated...," a single-judge bench of Justice Tara Vitasta Ganju held.

It was alleged by one of the aircraft lessors  DAE (SY22) 13 Ireland Designated Activity Company that the appointed RP for Go First’s insolvency resolution process (accountable for maintaining the insolvent company’s assets and liabilities) had wilfully failed to undertake regular maintenance and monthly inspections of the aircraft and to provide relevant records and documents.

On this, the RP told the Court that there was no wilful disobedience of court orders, and that he was willing to revert to the position regarding the maintenance of the aircrafts.

The matter is listed for further hearing on March 15.

Several other lessors also raised similar issues regarding the non-compliance of orders passed by the court from time to time.

Earlier, the Court had permitted the lessors to engage 24*7 security to protect their aircrafts and directed the RP to share documents related to the maintenance of aircrafts, engines and airframes with its lessors.

According to a report in LiveMint, earlier, the RP had raised the concern that returning the aircrafts to the lessors would render the airline with almost 7,000 employees to look after, "dead".

Go First airline’s troubles began around May last year when it stopped operating flights.

Since then, the airline’s voluntary insolvency resolution plea was accepted by the National Company Law Tribunal (NCLT) and subsequently upheld by the National Company Law Appellate Tribunal (NCLAT).

Thereafter, the airline’s lessors approached the Directorate General of Civil Aviation (DGCA) for deregistration and repossession of 45 planes they had leased to the carrier. However, the same was refused.

The lessors then approached the Delhi High Court against the said denial, terming it "illegitimate".
 



Share this article:

About:

A wanderer, aspiring yogini and writer. Shreya is a lawyer by profession, journalist by passion. A g...Read more



Leave a feedback about this
Related Posts
View All

'Without documentary proof, Waqf Board can't lay claim over any property' 'Without documentary proof, Waqf Board can't lay claim over any property'

In 2012, the Anjuman Committee addressed a letter to the Chairman of the Waqf Board stating there is a wall and Chabutrah (platform) on a 'Tiranga Ki Qalandari Masjid’ where in olden times laborers used to offer prayers.

Delhi High Court Sets Aside Arbitral Tribunal's Award Against NHAI in Highway Project Delay Case [Read Judgment] Delhi High Court Sets Aside Arbitral Tribunal's Award Against NHAI in Highway Project Delay Case [Read Judgment]

The Delhi High Court sets aside an Arbitral Tribunal's award favoring IRB Pathankot Amritsar Toll Road Ltd over a delay in a highway project. The court finds that the tribunal did not address the essential dispute of whether the National Highways Authority of India (NHAI) was in material default, rendering the award invalid.

Delhi High Court to Commence Daily Hearings on August 28 for Appeals Against Acquittals in 2G Case Delhi High Court to Commence Daily Hearings on August 28 for Appeals Against Acquittals in 2G Case

Delhi High Court is set to begin day-to-day hearings from August 28 for appeals by CBI and ED against acquittals in the 2G spectrum allocation case, expressing displeasure over adjournment requests. The case involves former telecom minister A Raja and business entities. Learn about the proceedings and details of the case.

Enforcement Directorate Alleges Breach of Bail Conditions by Robert Vadra in Money Laundering Case Enforcement Directorate Alleges Breach of Bail Conditions by Robert Vadra in Money Laundering Case

Get the latest update on the Robert Vadra case as the Enforcement Directorate alleges breach of bail conditions in a money laundering case. The ED claims non-compliance and seeks court action, while Vadra's counsel refutes the allegations. Stay informed about the legal proceedings and developments.

TRENDING NEWS


TOP STORIES

denying-child-care-leave-to-working-mothers-of-disabled-children-violated-constitutional-mandate-sc
Trending Judiciary
Denying child care leave to working mothers of disabled children violated constitutional mandate: SC

Supreme Court of India rules denying child care leave for mothers of disabled kids violates constitutional rights.

23 April, 2024 11:15 AM
ignorance-is-not-bliss-okhla-waste-to-energy-plant-needs-to-be-relocated-residents-argue
Trending Environment
Ignorance is not bliss: Okhla Waste to Energy Plant needs to be relocated, residents argue

Questions on the suitability of waste-to-energy plants in Delhi are not new, but the 2,000 tonnes per day Waste to Energy (WTE) plant, situated in the middle of the dense residential areas around Sukhdev Vihar, is not just a major environmental worry but an example of how siting rules can be bent to accommodate a heavily polluting enterprise.

23 April, 2024 12:29 PM
promotional-trailers-of-movie-not-a-promise-or-offer-sc
Trending CelebStreet
Promotional trailers of movie not a promise or offer: SC [Read Judgment]

Supreme Court rules movie trailers aren't promises or offers, not enforceable by law.

23 April, 2024 03:01 PM
baba-ramdev-contempt-case-sc-to-consider-role-of-fmcgs-in-misleading-ads
Trending Judiciary
Baba Ramdev contempt case: SC to consider role of FMCGs in misleading ads

SC expands contempt case to include FMCGs for misleading ads, grills IMA, asks for government affidavits.

23 April, 2024 03:16 PM

ADVERTISEMENT


Join Group

Signup for Our Newsletter

Get Exclusive access to members only content by email