HDFC wants NCLT to keep Jet Airways headquarters in Mumbai out of bankruptcy process

Mumbai: Mortgage lender HDFC on Thursday moved the NCLT seeking to keep the Jet Airways headquarters in the city out of the bankruptcy process.

The HDFC counsel told the National Company Law Tribunal that three floors of the building are mortgaged with the lender.

The tribunal will hear HDFC's plea on Friday along with the main petition.

 HDFC wants NCLT to keep Jet Airways headquarters in Mumbai out of bankruptcy process

Representational image. Reuters.

Last month, NCLT had admitted the insolvency petition filed by the lenders' consortium led by State Bank against Jet Airways which stopped operations on 17 April after running out of cash.

The tribunal has also appointed Ashish Chhauchharia of Grant Thornton as the resolution professional and asked him to submit a progress report by 5 July.

The consortium of 26 bankers led by State Bank took the grounded Jet Airways to NCLT to recover their dues of over Rs 8,500 crore.

The lenders have been trying to sell the airline as a going concern since the past five months, but failed due to many a reason.

Apart from banks, the airline also owes over Rs 10,000 crore to its hundreds of vendors, primarily aircraft lessors and over Rs 3,000 crore to its employees who have not been paid since March.

The airline has been having negative net worth for long and has run a loss of over Rs 13,000 crore in the past few year. Thus it has over Rs 36,500 crore of dues and being a services company negligible assets to recover.

Updated Date: Jul 04, 2019 19:41:31 IST