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Jet Airways: NCLT verdict on sharing resolution plan with employees on Feb 22

Forum Gandhi Mumbai | Updated on February 10, 2021

The Mumbai Bench of NCLT will give its order on February 22 whether or not to share the resolution plan of Jet Airways with its employees.

The court has said that it will hear the resolution plan case only post that. The lawyers of Resolution Professional and the Committee of Creditors were asking for a priority hearing.

At least five employee associations of Jet Airways including JAMEWA, NAG, Cabin Crew Association amongst others have requested for the resolution plan.

The lawyers appearing on behalf of the associations said that they needed to know the detail of the resolution plan to check if their claims were accepted or not.

Sanjay Singhvi, senior counsel appearing on behalf of one of the associations, said according to a few pages of the resolution plan shared by someone with him, the consortium of Kalrock Capital and Murari Lal Jalan planned to start another company, and give shares to the employees in that company.

He added that when he approached the RP’s team to seek clarity on the same, the RP, Ashish Chhawcharria neither denied nor accepted the same.

Whereas the lawyers, on behalf of the RP and CoC, said that the resolution plan had several confidential details, and thus, it wasn’t possible to share it on legal grounds.

The Court then reserved the written order for February 22. The court will hear the approval of the resolution plan post that.

Gaurav Joshi, senior counsel appearing on behalf of the RP, and other lawyers requested multiple times to hear the matter on day to day basis. He said, “If the matter isn’t heard before the preparation of the summer schedule of airlines, it will be too late which could have severe adverse effects on the company’s hope to revival.”

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Published on February 10, 2021
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