Jet Airways is back! NCLT approves Kalrock-Jalan consortium's resolution plan

The National Company Law Tribunal (NCLT) on June 22, approved the Kalrock-Jalan consortium's resolution plan for Jet Airways, with riders.

The Mumbai bench of the NCLT has given the Directorate General of Civil Aviation (DGCA) and Ministry of Civil Aviation (MCA) 90 days from June 22 to allot slots to the airline, CNBC-TV18 has reported.

The civil aviation regulator will make the final decision on allotment of slots.

Ashish Chhawchharia, the Insolvency Resolution Professional (IRP) for Jet Airways, told CNBC-TV18 that he was pleased with the NCLT order. He also said he saw no reason for the DGCA to challenge the NCLT's decision.

A government official told the news channel that the DGCA and civil aviation ministry would study the detailed order before deciding on slots. The process of allocating slots to Jet Airways will take time.

After Jet Airways was grounded in April 2019, its slots were allocated to other airlines. The insolvency proceedings were initiated against the airline in June 2019.

In October 2020, the Murari Lal Jalan-Kalrock Capital alliance won the bid for Jet Airways, giving the defunct airline a chance to restart operations.

In a recent affidavit submitted to the bankruptcy court, the MCA and the DGCA said Jet Airways could not not claim historicity to obtain the slots and that allocation of slots would be done in accordance with the existing guidelines.