The Directorate General of Civil Aviation by May 1 approved deregistration of most of Go First's 54 aircraft, which multiple lessors had sought after the airline got grounded in May 2023.
The civil aviation regulator uploaded notices approving the deregistration of multiple aircraft belonging to Bluesky Leasing Co. and Star Rising Aviation, amongst other international lessors, on its website on May 1.
Moneycontrol saw a copy of the notices uploaded on the DGCA's website.
"Lessors to Go First have been emailed copies of the approved deregistration of their aircraft and all notices of aircraft deregistration will be uploaded on the DGCA website in due course," a senior DGCA official told Moneycontrol.
Cash-strapped budget carrier Go First stopped flying on May 3 and is undergoing a voluntary insolvency resolution process.
The Delhi High Court on April 26 had directed the civil aviation regulator to process the deregistration applications of aircraft leased by the airline within five working days.
The court had directed that all maintenance tasks in respect of the aircraft will be undertaken by the lessors and all their authorised representatives up to and until the time the aircraft are de-registered and exported, in pursuance of Rule 32A of the Aircraft Rules.
In its bankruptcy filing, GoFirst had blamed its financial crunch on “faulty” engines of US-based Pratt & Whitney, claiming it was forced to ground 28 of its 56 planes. The grounded airline reportedly owes its creditors over Rs 6,200 crore.
Go First, founded in 2005 and formerly backed by the Wadia Group, filed for insolvency on May 2, 2023 and ceased flights the following day, blaming engines supplied by American aerospace manufacturer Pratt & Whitney.
The airline’s total liabilities to all its creditors amount to about Rs 11,463 crore, encompassing dues to banks, financial institutions, vendors, and the aircraft lessors.
The Delhi High Court's April 26 ruling overturned the DGCA’s communication of May 2023 deferring the lessors’ deregistration applications as Go First had entered a moratorium period.
Go First’s insolvency, attributed to financial woes stemming from faulty engines, was accepted by the National Company Law Tribunal on 10 May, 2023, initiating a moratorium period.
On April 8, NCLT had granted a 60-day extension to Go First to complete its corporate insolvency resolution process, considering stakeholders’ interests.
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