NCLT seeks MCA views on aircraft lessor moratorium exemption in IBC

The Civil Aviation ministry's interpretation of the MCA notification, might be a deterrent for the airlines which end up in insolvency but give a leg up to lessors business

This report has been updated

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The National Company Law Tribunal (NCLT) has asked the Ministry of Corporate Affairs (MCA) for its views on whether the exemption from the moratorium granted to all transactions related to aircraft and their engines under the Insolvency and Bankruptcy Code (IBC) is retrospective in nature, according to official sources.

The NCLT has sought MCA’s perspective regarding a plea filed by a lessor in the Go First insolvency case to reclaim its assets, citing the MCA notification of October 3, 2023.

While the notification does not explicitly state its retrospective nature, the Directorate General of