PSU Watch logo

| HPCL partners with ICICI Bank for fuel payments |   | ONGC’s second well in KG-DWN-98/2 block has started production: CMD |   | India, Australia hold first Joint Working Group meet on coal, mines |   | NBCC secures biggest-ever overseas project in Maldives |   | THDC's Tehri Dam achieves full potential of 830m capacity |  

Jet employees are going to NCLT with a first-of-its-kind initiative to revive airline

The Mumbai Bench of the NCLT admitted an insolvency petition filed by the SBI against Jet Airways on June 20
New Delhi: In a first-of-its-kind initiative, a consortium of Jet Airways employee unions and AdiGroup announced their decision to bid for 75 percent stake in the airline through the National Company Law Tribunal (NCLT) process where the debt-ridden airline is currently undergoing insolvency proceedings. “Jet Airways Employee Consortium and AdiGroup are delighted to announce their partnership to bid for the acquisition of 75 percent of Jet Airways through NCLT process,” a joint statement released by the consortium and AdiGroup said.

‘Dawn of a new era’

“This is a new dawn in the history of India Aviation of operating an airline through employee initiative programme where every single employee of Jet Airways will become an owner of the airline. It truly embodies Prime Minister’s dream ‘Sabka Saath Sabka Vikas Sabka Vishwas,’” the joint statement said. While addressing a press conference organised to share the news, Capt Ashwani Tyagi, Commander Boeing 777, General Secretary-Society for Welfare of Indian Pilots, and one of Jet’s senior-most pilots who has been with the airline for 18 years, said that Jet was like a family to him and it was “challenging yet exciting journey to revive Jet Airways.”

The backdrop

The Mumbai Bench of the National Company Law Tribunal (NCLT) admitted an insolvency petition filed by the SBI on behalf of 26 lenders against Jet Airways on June 20. The airline owes Rs 8,500 crore to banks and around Rs 25,000 crore in arrears to vendors, lessors and employees.