Aviation News

SC asks Jalan Kalrock Consortium to deposit Rs 150 cr before Jan 31, ET Infra


The Supreme Court has asked the Jalan-Kalrock consortium to deposit Rs 150 crore on or before January 31, 2024, with the State Bank of India escrow account, failing it may be treated as non-compliant with the resolution plan for the takeover of Jet Airways.

The apex court also directed that PBG of Rs 150 crore shall continue to remain in operation till the National Company Law Tribunal (NCLT) decides the petitions.

The SC said that the National Company Law Appellate Tribunal (NCLAT) should decide whether the successful resolution applicant has complied with all conditions in the resolution plan.

The NCLT has been asked to decide expeditiously by the end of March.

Hearing a separate petition in the matter, the top court on Wednesday asked the new owners of the cash-strapped airlines about the amount paid towards dues on account of provident fund and gratuity to the former employees of Jet Airways. Lawyers claimed that the JKC has to pay over Rs 200 crore towards the dues.

“Tell us, how much you have paid to the workmen (of Jet Airways) towards the provident fund and gratuity dues,” a bench comprising Chief Justice D Y Chandrachud and Justices J B Pardiwala and Manoj Misra asked senior advocate Mukul Rohatgi, appearing for the consortium whose resolution plan to take over the ailing firm was approved.

“We have not received even one per cent control over the entity,” Rohatgi responded, adding that the consortium was committed to the terms of the approved resolution plan.

Appearing for the SBI-led lenders, Solicitor General Tushar Mehta said the financial institutions have to recover Rs 7,800 crore. He said they are also incurring expenses on maintaining aircraft.

  • Published On Jan 18, 2024 at 05:14 PM IST

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