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Kingfisher down on staff looking to file liquidation appeal

Employees of Kingfisher Airlines (KFA) have threatened to file a winding up petition against the company for its inability to pay them salaries.

January 10, 2013 / 11:53 IST
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Moneycontrol Bureau


Employees of Kingfisher Airlines (KFA) have threatened to file a winding up petition against the company on its inability to pay them salaries.
The defunct airline's maintenance and ground staff who met on Wednesday, have decided to submit a memorandum to the ministries of corporate affairs and civil aviation seeking not only an inquiry but also put forth their demand to liquidate company assets and pay them salaries.
Simultaneously, employees are also seeking answers from the management about plans to recapitalize and renewal of flying permit. While speaking to media yesterday, staff representatives have warned if the management fails to fulfill their demands; it will take no time for them for  them to take a harsh step. Must Read: Kingfisher Air down 4% after losing slots at Mumbai Airport
However, experts say all of KFA's assets have already been pledged with banks against loans taken. If at all there are some assets left, then banks will have first right to liquidate them to recover dues of around Rs 7,500 crore from the company.
Meanwhile, shares of the company sliped around a percent to Rs 13.33 following this news.
 
first published: Jan 10, 2013 09:15 am

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