Delhi HC raps Go First's RP for not complying with inspection order

The Delhi High Court on Friday warned that the resolution professional (RP) of Go First would be summoned to court personally if he does not comply with its order to allow lessors of the grounded airline to inspect the aircraft.

Justice Tara Vitasta Ganju, while making this observation, said some photos of the aircraft “speak for themselves.”

The judge referred to photographs submitted by a lessor that allegedly showed critical parts of the aircraft missing.

A lessor in the case informed the court that they had still not been permitted to inspect their aircraft, despite the court’s orders in July. Justice Ganju, through an interim order, had allowed the lessors to inspect the aircraft.

A division Bench of the high court and the Supreme Court had also affirmed this order, thus allowing the lessors to inspect the aircraft.

Counsel appearing for the RP said the lessor in the case was “forum shopping,” as it had also approached the National Company Law Tribunal (NCLT) seeking the same relief but was denied.

Meanwhile, the NCLT on Friday instructed the RP to file a status report within two days on the maintenance of leased aircraft and engines. This came after a lessor alleged that the RP was not maintaining the aircraft and engines in line with the NCLT’s directions.
 

The NCLT also questioned the motives of lenders in the case after they filed an application to be made a party in the case. The tribunal observed that there was no need for the lenders to be made a party when the RP was already acting in their interest.

As it stands, the lenders can file their submissions, but they have not yet been made a party in the case. The lessors approached the NCLT with a request to release the aircraft leased to the airline.

After Go First’s insolvency plea was accepted, the aircraft entered a moratorium period, meaning the lessors could not reclaim their aircraft.
 

The NCLT is hearing pleas filed by the lessors — Bluesky 31 Leasing Company, Bluesky 19 Leasing Company, Jackson Square Aviation Ireland, SMBC Aero Engine Lease, Engine Lease Finance, and BOC Aviation (Ireland) — mainly to prevent Go First from operating the aircraft owned by them for commercial use.

The lessors had also filed a plea against the Directorate General of Civil Aviation (DGCA) in the high court for deregistration of their aircraft as well as to allow them to inspect the planes.
 

The National Company Law Appellate Tribunal (NCLAT) on Thursday permitted Jackson Square Aviation LLC, one of the lessors, to inspect its aircraft leased to the insolvent airline.