Monday, June 12, 2023

After Go First crisis, another pocket-friendly airline, SpiceJet on verge of bankruptcy

New Delhi: Aircraft lessor Wilmington approached National Company Law Tribunal (NCLT) on Monday to initiate an insolvency case against SpiceJet and the next hearing is posted for June 16. 
Wilmington Trust SP Services Limited, a Dublin-based company, that leased aircraft to SpiceJet, has filed a petition in the NCLT, urging it to start the insolvency process against SpiceJet. It is pertinent to note here that in May, the Directorate General of Civil Aviation (DGCA) deregistered three planes of the low-cost carrier at the request of lessors. 
Apart from Wilmington Trust, Sabarmati Aviation Leasing and Falgu Aviation Leasing sought the deregistration of the aircraft. SpiceJet had 67 aircraft in its fleet comprising Boeing 737s, B737 Max and BombardierQ400s. Out of these, only 37 were in operation as of early May, as per the agency. This development comes against the backdrop of the Go First crisis and with reports of high fares and if this petition against SpiceJet is approved, then many questions will be raised on the fu ture prospects of low-cost fair airlines in the country. 
 Last month, Go First had reached the verge of bankruptcy and to save itself from the insolvency process, the company had moved to NCLT. On Saturday, Go First issued a fresh announcement regarding the cancellation of all its flight services till June 14. 
 12/06/2023 ETV Bharat
To Read the News in full at Source, Click the Headline


Post a Comment