According to persons with knowledge of the situation who spoke to ET, Go First’s resolution professional has urgently requested financing from lenders in the amount of INR 100 crore to keep the company afloat by covering its statutory obligations, such as insurance.

According to RP Shailendra Ajmera, supported by EY, lenders in the creditors’ committee would use this emergency cash for important costs like insurance and maintenance.

According to one of the individuals, “the funds are needed to cover crucial costs like insurance and repairs, essential to sustain operations.” According to the banks’ voting stake in the CoC, “The RP has requested funds from the banks.”

This follows the Supreme Court’s dismissal of Go First’s appeal of the Delhi High Court’s decision allowing lessors to inspect their aircraft on August 7.

The person described above stated that the request for emergency finance has been sent to the corporate offices of the Central Bank of India and Bank of Baroda, and that a decision is probably coming in the next day or two.

Bank of Baroda, Central Bank, and IDBI Bank collectively own 72% of the voting shares, while Deutsche Bank maintains a 25% voting interest.

As of Sunday afternoon, Shailendra Ajmera had not responded to calls for comment.

Source – Travel biz