Resolution Professional invites claims from creditors of Jet Airways

The RP has asked the creditors of Jet Airways to submit their claims with proof on or before July 4.

June 24, 2019 06:57 pm | Updated 10:39 pm IST - Mumbai:

The Resolution Professional (RP) for Jet Airways has invited claims from all creditors of the grounded airlines. Last week, the National Company Law Tribunal (NCLT) admitted Jet Airways for bankruptcy.

The airline owes over ₹8,500 crore to a consortium of 26 banks led by State Bank of India; over ₹13,000 crore to the tens of hundreds of vendors, and around 23,000 employees.

“The creditors of Jet Airways are hereby called upon to submit their claims with proof on or before July 4, to the interim resolution professional. Financial creditors shall submit their claims with proof by electronic means only,” resolution professional Ashish Chhawchharia of Grant Thornton said in a public notice.

All other creditors shall submit their claims with proof in person, by post or by electronic means, it added.

The lenders had been owning the airline since March 25 with 51% stake. On June 17, they decided to take the airline, which stopped flying on April 17, to the NCLT as they could not find a buyer.

Even the only preliminary bid from the Etihad-Hinduja consortium reportedly wanted the banks to take 90-95% haircut and also exemptions from open offer norms, which would not have been possible for the lenders to commit.

On June 20, the NCLT admitted the insolvency petition filed by State Bank of India against the airline.

On that day, the tribunal comprising V.P. Singh and Ravikumar Duraisamy had given a verbal direction to the RP to try and finish the resolution process in three months even though the law allows six months, as “the matter is of national importance.”

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