New Delhi: India has no bankruptcy law to speak of and therefore lenders and Government departments resort to underhand tactics to recover their dues from large companies which go bankrupt.
The latest case where this has happened is Kingfisher Airlines. Eager to get their dues, airport operators and tax departments are twisting the knife into Kingfisher but there is a catch: instead of the airline, these people have ended up upsetting aircraft lessors. Aircraft lessors, or companies which lease out aircraft globally to airlines for a fee, have been suffering interminably in taking back their aircraft leased to Kingfisher.
Lessors are bitter with Indian authorities because even though Kingfisher stopped operations in October 2012 and has not operated a single flight since then, Indian airport operator Airports Authority of India (AAI), service tax and other Government departments have not helped lessors repossess planes.
28/03/13 Sindhu Bhattacharya/First Post
