Go Airlines | NCLT Issues Notice On Application Filed By RP Seeking Refund Of Cancelled Ticket Amount To Passengers
Pallavi Mishra
4 Aug 2023 6:40 AM GMT
The National Company Law Tribunal (“NCLT”), New Delhi Bench, comprising of Shri Mahendra Khandelwal (President) and Shri Rahul Bhatnagar (Technical Member), while adjudicating a petition filed by Go Airlines (India) Limited, has issued notice in an application field by the Resolution Professional of Go Airlines, seeking permission to make refund to the passengers whose...
The National Company Law Tribunal (“NCLT”), New Delhi Bench, comprising of Shri Mahendra Khandelwal (President) and Shri Rahul Bhatnagar (Technical Member), while adjudicating a petition filed by Go Airlines (India) Limited, has issued notice in an application field by the Resolution Professional of Go Airlines, seeking permission to make refund to the passengers whose tickets were cancelled. The notice has been issued to the respondents namely, Committee of Creditors (“CoC”) and the Insolvency and Bankruptcy Board of India (“IBBI”), to enter appearance and file their reply.
Background Facts
M/s Go Airlines (India) Limited (“Corporate Debtor/Go Airlines”) is engaged in the business of Airlines and is the third largest airline operator in India.
Go Airlines filed a petition under Section 10 of the Insolvency and Bankruptcy Code, 2016 (“IBC”), voluntarily seeking initiation of the Corporate Insolvency Resolution Process (“CIRP”) against itself. On 10.05.2023, the NCLT admitted the petition and initiated CIRP against Go Airlines.
Prior to CIRP initiation, Go Airlines was constrained to cancel 4,118 flights with 77,500 passengers in a span of thirty days as its flights were grounded. No refund was made to the passengers at that point of time.
In a hearing held on 25.07.2023, the NCLT had permitted Go Airlines to resume flight operations. Thereafter, an application was filed by Resolution Professional of Go Airlines, seeking permission to make refund to those passengers of Go Airlines whose tickets were cancelled.
The NCLT has issued notice to the Insolvency and Bankruptcy Board of India (“IBBI”) and the Committee of Creditors (“CoC”) of Go Airlines, to enter appearance and file their reply to the said application. The Resolution Professional has been granted liberty to take up the issue of refund with the CoC in the meanwhile.
The matter is next listed on 07.08.2023.
Case Title: Go Airlines (India) Limited
Case No.: Company Petition No. (IB)-264(PB)/2023
Counsel for Applicant: Mr. Ramji Srinivasan, Sr. Adv. with Mr. Vishnu Shriram, Ms. Pratiksha Mishra, Mr. Shreyas Edupuganti, Ms. Namrata Saraogi, Mr. Kartik Pandey, Advs.
