Nikita Vashisht Moneycontrol News
In what could be another blow to the beleaguered Jet Airways, 260 pilots of the airline appeared for a walk-in interview session organised by SpiceJet.
Sources told Moneycontrol that 260 pilots, including 150 captains, came for the interviews organised at Mumbai for Boeing 737 rated captains, non-type rated captains and first officer with frozen airline transport pilot licence (ATPL).
Jet is sitting on a pile of Rs 8,000 crore debt and has been unable to furnish instalments for loan repayment. This has led to the grounding of 78 of 119 aircraft in its fleet and withdrawal of close to 1,000 flights.
Financial troubles have also led to non-payment of salaries to its employees, including pilots, since December, who have now threatened to stop flying from April 1 if their dues are not cleared by March-end.
The decision was taken at the annual meeting of the airline's domestic pilot body, which represents around 1,000 pilots at the airline.
A new resolution process for the cash-starved airline is being worked out by lenders after minority stakeholder, Etihad Airways, decided against the infusion of Rs 750 crore as capital and walking out of the airline completely.
Tony Douglas, group CEO of the Abu Dhabi-based airline met SBI Chairman Rajnish Kumar on March 18 and offered its (current) 24 percent stake in the airline in order to get out of Jet Airways.
Kumar met Finance Minister Arun Jaitley on March 20 along with Aviation Secretary Pradeep Singh Kharola, and Principal Secretary to PMO, Nripendra Mishra to discuss the new resolution plan.
"We have not reached a point where Jet Airways will be taken through insolvency and bankruptcy code... An effort is being made to keep the airline running," Kumar told reporters after the meeting.
He added that "dialogue with Etihad" is on, who want to manage the airline "without any interference".
According to top finance ministry sources, the government has suggested lenders pump in funds against the pledged shares of the majority stakeholders holders, whereas bankers want to keep "either Naresh Goyal or Etihad at the board".
"We are not ruling out the possibility of bringing in a new investor," Kumar said.
Media reports have also suggested banks could ask Goyal to step down with immediate effect.
Apart from pilots, the budget carrier may also get Jet Airways' grounded Boeing fleet as lessors of the latter have approached the former to take such aircraft on lease.
"Lessors of Jet have offered SpiceJet to take its grounded fleet for a short term dry lease of one to three years," sources said who added that lessors fear losing their money as Jet has been unable to pay their fee due to the financial crunch. It must be noted that both the airlines operate the same fleet of Boeing 737 aircraft.
SpiceJet currently needs 12 Boeing aircraft after Directorate General of Civil Aviation (DGCA) decided to ground B737 Max series planes owing to safety concerns.
Apart from SpiceJet, Indigo too tried to woo pilots of Jet Airways in a roadshow, organised on March 12, by offering them a job and their "overdue salary as joining bonus".
IndiGo had cancelled numerous flights during February and March due to a shortage of pilots.
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