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Plea By Dutch Bankruptcy Administrator To Hear In Jet Airways Insolvency Matter – NCLAT
Jet Airways owes more than Rs. 8,000 crore to lenders including consortium of banks led by the State Bank of India. The grounded airline has a large debt 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. Jet Airways was declared bankrupt in response to a complaint filed by two European creditors. A Bankruptcy Administrator or "trustee in charge" was appointed by the Dutch court. A three-member NCLAT bench headed by Chairman Justice S J Mukhopadhaya sought the assistance of the Dutch bankruptcy administrator in the matter and the Dutch Administrator has also agreed not to sell the confiscated assets of debt-ridden Jet Airways. The Appellate Tribunal has issued notice to the consortium of Jet Airways lenders and directed them to file their reply within two weeks. According to the order of NCLT passed on June 20, the total amount of debt granted to the Jet Airways by SBI alone stands at Rs 1,795.21 crore and the default amount stated to be Rs. 462.3938 crore were overdrawn amount over sanctioned limits of the cash credit facilities by SBI alone. The National Company Law Appellate Tribunal today agreed to hear and said the matter would be heard by the Appellate Tribunal next on August 21 regarding the insolvency matter.
