NCLT  reserves Jet’s ownership transfer order


MUMBAI : The National Company Law Tribunal (NCLT) on Wednesday reserved its order in a petition filed by the Jalan Kalrock consortium, which claimed to have completed all the conditions precedent (CPs) required under its resolution plan, and sought transfer of ownership of Jet Airways Ltd. As the successful resolution applicant (SRA), Jalan Kalrock sought the tribunals’ direction allowing it to take management control of Jet Airways to execute relevant documents for implementing the resolution plan approved by the tribunal in June 2021, and infuse funds to start operations. It also urged the NCLT to put the ownership transfer date as starting date for the 180-day deadline to settle the lenders’ dues.

Senior counsel, Krishnendu Dutta appearing on behalf of the SRA, said the bankers cannot seek an undertaking from the consortium as it would effectively modify the original resolution plan.

The arguments at the NCLT follows an observation by the lenders to the cash-strapped airline informing the tribunal that there were significant doubts on the viability of the resolution plan submitted by the Jalan-Kalrock consortium as the successful resolution applicant has not submitted an undertaking for the payment of all the dues to the lenders.

On Tuesday, Rohan Rajadhyaksha, a counsel representing the committee of creditors, had argued that the undertaking was just to ensure comfort for payment of the dues. The NCLT has been hearing the arguments of both the SRA and the lenders on whether the conditions precedent were fulfilled by the consortium in order to receive the ownership of the airlines. While the lenders said the conditions precedent were not satisfied by Jalan Kalrock , the consortium claimed that it had met all the necessary conditions precedent mentioned in the resolution plan.

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