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Jet-Sahara case flies back to Mumbai
The Supreme Court today ordered the case between Jet Airways and Air Sahara to be shifted back to the Bombay High Court. At the same time, the Supreme Court has kept the freeze on Jet's escrow account, reports CNBC-TV18.
The Supreme Court today ordered that the case between Jet Airways and Air Sahara be shifted back to the Bombay High Court. It said that all matters pertaining to the case would be heard by the Bombay high court.
At the same time, the Supreme Court has said that Jet's escrow account will remain frozen till the Bombay high court announces a verdict.
CNBC-TV18 reports that the Supreme Court's order is a mix of good and bad news for Jet AIrways. Challenging the jurisdiction of Lucknow High Court, Jet had primarily asked the Supreme Court to transfer the case to the Mumbai High Court. So the SC's order will have Jet Airways smiling.
But the freeze on the Rs 1,500 crore escrow account is not such good news. That's because Jet has already transferred Rs 500 crore in cash to Sahara. So this works out to a hit of about Rs 2,000 crore.
For an airline which is facing problems of high fuel costs and climbing operating costs, this money would have meant much-needed relief.
CNBC-TV18 reports that the Supreme Court's order is a mix of good and bad news for Jet AIrways. Challenging the jurisdiction of Lucknow High Court, Jet had primarily asked the Supreme Court to transfer the case to the Mumbai High Court. So the SC's order will have Jet Airways smiling. 
