Jet Airways calls board meeting on Tuesday

Lenders refuse to give it interim funds

April 15, 2019 11:06 pm | Updated November 28, 2021 09:51 am IST - MUMBAI

Jet Airways staff staging a protest in Mumbai on Monday.

Jet Airways staff staging a protest in Mumbai on Monday.

Jet Airways has called a board meeting on Tuesday to decide its future course of action.

On Monday, lenders refused to give it any interim funding to enable the airline to continue its already curtailed operations and pay some salaries to employees.

The airline’s management had sought a meeting with the lenders to secure some funds, which did not come.

“As you are aware, we have been working with the lenders to secure interim funding for our operations. This has not been forthcoming thus far, and as a result we have extended cancellation of international operations through Thursday, April 19, 2019,” Jet Airways CEO Vinay Dube wrote in a letter to employees, which The Hindu has seen.

The international operations were suspended till April 15.

The airline is now flying only six planes in the domestic sector just to retain its flying permit.

“Please note that the current status of our engagement with the lenders and other related matters shall be placed before the Board in the meeting scheduled for Tuesdsay morning, where the Management will seek guidance from the Board on the next steps forward,” Mr. Dube said.

Meanwhile the State Bank of India (SBI) said the legal team of SBI Caps — its merchant banking arm — was vetting the applications of prospective bidders for Jet Airways. “The prospective bidders will be shortlisted by SBI Caps shortly,” the SBI said in a statement. The SBI is acting on behalf of the group of lenders as part of the Bank-Led Resolution Process.

Monday also witnessed a protest by Jet Airways’ pilots and other staff members at its headquarters in Mumbai demanding wages.

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