Go First resolution – The resolution professional at Go First has applied to the National Company Law Tribunal (NCLT) for authority to repay money to passengers whose tickets were cancelled after the cash-strapped airline halted operations on May 3.
The resolution professional has filed a new appeal with the NCLT’s Delhi bench, demanding that the tribunal allow the resolution professional/corporate debtor to provide refunds to customers whose airline tickets were cancelled from May 3, 2023.
On Monday, the application will be considered by an NCLT bench comprised of Mahendra Khandelwal and Rahul P Bhatnagar.
If approved, this will provide relief to flight travelers whose funds are still tied to the ailing Go First, which ceased operations on May 3, 2023.
The airline sought the CIRP (Corporate Insolvency Resolution Process) voluntarily in the first week of May, since it was unable to fly due to technical difficulties caused by the non-availability of Pratt & Whitney engines.
Go First resolution
On May 10, the NCLT granted Go First’s request to commence voluntary insolvency proceedings. As a result, flights were canceled, generating problems for thousands of people whose money was stuck with the airline.
Previously, some flying travelers have approached NCLT directly for refunds of cancelled tickets via e-mail or phone calls.
On July 3, the NCLT issued an advice instructing them to approach the RP to request a refund in accordance with the Insolvency and Bankruptcy Code (IBC).
Last week, the NCLT rejected Go First’s lessors’ requests to bar it from commercial flying, ruling that the aircraft remain accessible for resumption of operations because the aviation regulator DGCA has not deregistered them.