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NCLT adjourns hearing on Jet Airways insolvency case to June 20

Jet Airways owes more than Rs 8,000 crore to a consortium of banks led by the State Bank of India, which now run the airline

Press Trust of India  |  Mumbai 

Jet lenders make last push to find investors to pick up stake with Etihad

The National Company Law Tribunal (NCLT) Thursday adjourned the hearing on insolvency case to June 20.

By asking the two operational creditors--Shaman Wheels and Gaggar Enterprises--who have taken to NCLT, to again serve legal notices to the grounded airline, the tribunal is yet to admit the bankruptcy pleas.

These two had on June 10 dragged the airline to the seeking The airline, which was grounded on April 17, owes Rs 8.74 crore to Shaman Wheels and Rs 53 lakh to Gaggar Enterprises.

owes more than Rs 8,000 crore to a consortium of banks led by the State Bank of India, which now run the airline, while it has a much larger debt pile by way of accumulated losses to the tune of Rs 13,000 crore and vendor dues of over Rs 10,000 crore and salary dues of over Rs 3,000 crore.

The banks have appointed SBI Capital Markets as the investment banker to find an investor to scout investors.

Bankers, after taking over the airline late March had invited bids on April 8 to sell up to 75 percent stake in the crippled carrier that formally stopped operations on April 17.

Though it had received initial bids from parties- Ethihad Airways, private equity players TPG Capital and Indigo Partners, and the sovereign wealth fund NIIF, none of them chose to submit the final bids.

Currently bankers are trying to stave off bankruptcy even as media reports said Etihad Airways, which already owns 24 percent in the airline, has teamed up with the Hindujas to buy the airline.

The Jet Airways counter plunged close to 17 percent to Rs 91.95 on the BSE after the exchanges put many restrictions on trading in the stock last evening.

First Published: Thu, June 13 2019. 17:53 IST