On May 17, the tribunal ordered the airline to respond to the lessor’s bankruptcy case and consider settlement possibilities.
Aircastle’s bankruptcy petition against SpiceJet was postponed till June 1 by the NCLT on May 25.
The tribunal ordered the Gurugram-based airline to respond to the lessor’s bankruptcy case and consider settlement alternatives on May 17.
Aircastle said SpiceJet’s offer was too low and settlement negotiations had failed.
The creditor petitioned NCLT for bankruptcy proceedings under Section 9 of the bankruptcy and Bankruptcy Code (IBC) against SpiceJet for unpaid debts.
SpiceJet was notified on May 8 by a two-member principal bench of the NCLT led by president Ramalingam Sudhakar to list the matter on May 17.
Go First filed for voluntary insolvency resolution procedures shortly before the development.
SpiceJet said the development would not disrupt its operations and it was confident of settling the dispute without legal procedures. “The comments provided here are without prejudice to our rights and in no way should be deemed as an admission of any liabilities,” a low-cost airline representative stated.
SpiceJet denied insolvency speculations on May 11 by saying it is utilising $50 million from the government’s Emergency Credit Line Guarantee Scheme (ECLGS) and internal cash accruals to restore its grounded fleet.
SpiceJet says it’s focused on business and won’t declare bankruptcy.
DGCA deregisters SpiceJet aircraft
Lessors requested the deregistration of three SpiceJet planes on May 19.
On May 19, SpiceJet claimed two of the three were non-operational and its operations were unaffected.
Wilmington Trust SP Services, Sabarmati Aviation Leasing, and Falgu Aviation Leasing asked the civil aviation authorities to deregister three Boeing 737-800s for non-payment earlier this month.
SOURCE :- https://www.moneycontrol.com/news/trends/legal/nclt-defers-hearing-of-insolvency-plea-against-spicejet-to-june-1-10655981.html