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Last Updated : May 14, 2019 08:37 PM IST | Source: Moneycontrol.com

Jet Airways CEO Vinay Dube resigns with immediate effect

Sources added the airline's Chief People Office Rahul Taneja has also resigned.

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Jet Airways CEO Vinay Dube has resigned with immediate effect, just hours after the distressed airline's deputy CEO and CFO Amit Agarwal had put in his papers.

Dube, who had joined the airline in August 2017, "has resigned from the services of the company with immediate effect due to personal reasons," Jet Airways said in a statement.

Sources added the airline's Chief People Office Rahul Taneja has also resigned.

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Kuldeep Sharma, Company Secretary and Compliance Officer, has also resigned from the services of the Company with immediate effect.

The top-level exits come even as lenders are working with Etihad Airways, which was the only shortlisted bidder to put in a bid.

The airline seized operations temporarily around mid-April due to an acute liquidity crisis. Most of the airline's board members have also quit in the last month.

The resignations have given rise to wide speculation.

Senior executives from the industry said the management may have taken the decision after it was revealed that Etihad has offered to take just a minority share in Jet Airways.

Etihad Airways offer includes equity infusion of Rs 1,700 crore. That may not be enough to service Jet’s debt of over Rs 8,000 crore and settle arrears of vendors, lessors and employees.

"It's unfortunate that the those at the helm of Jet Airways have sensed no future with the airline and have chosen to abandon the airline. Thus, this development comes as devastating news for employees and those who wait in hope for the airline's return,” said Mark Martin, Founder and CEO of Martin Consulting LLC, an aviation advisory and consulting firm.

“Etihad's cruel joke of submitting an envelope with no bid and a list of terms of conditions sends out a clear message and that time's up for Jet Airways and its best that we move on,” he added.

Etihad Airways declined to comment on the development.

Vinay Dube had joined Jet Airways in August 2017 before which he was Senior Vice President, Asia Pacific for Delta Air Lines.

A 30-year industry veteran, the Indian American had turned around Delta’s operations in Asia. Under him, the airline’s Asia Pacific business had expanded over 60 percent by entering new markets and stitching up alliances.

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First Published on May 14, 2019 04:59 pm
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