Jet Airways’ Consortium Appeals Order Amidst Dispute Over Boeing 777 Sale
The consortium spearheading the Jet Airways acquisition, named the Jalan Kalrock Consortium (JKC), has lodged an appeal against an order directing the sale of three B777 aircraft owned by the grounded airline. The appeal, filed in the National Company Law Appellate Tribunal (NCLAT), challenges the sale instruction issued to Jet Airways’ monitoring committee.
Key Highlights:
- Legal Dispute: The appeal, titled “Consortium of Murari Lal Jalan & Florian Fritsch vs. Ace Aviation VII Ltd. & Ors,” revolves around the 2022 agreement between Ace Aviation and the monitoring committee. Ace Aviation, a Malta-based special purpose vehicle, had expressed interest in purchasing three B777-300ERs from Jet Airways.
- Ownership Change Contention: The conflict escalated when the monitoring committee deferred the sale in November 2022, citing disagreements with the Jalan Kalrock Consortium. Ace Aviation contends that JKC’s fulfillment of financial obligations triggered an ownership change, urging the court to revisit the case.
- NCLT Decisions: The case has seen various rulings from the National Company Law Tribunal (NCLT), with a July rejection of Ace Aviation’s application to purchase the planes. However, after JKC met financial obligations to creditors, Ace sought a rehearing, leading to an NCLT order in October compelling the monitoring committee to honor the agreement with Ace Aviation.
- Appeal Initiation: Pooja Mahajan, representing the Jalan Kalrock Consortium, initiated the appeal in the NCLAT. The hearing was briefly addressed, and due to time constraints, the tribunal adjourned the matter until December 12.
The ongoing legal tussle adds complexity to the resolution process for Jet Airways. The consortium’s appeal seeks to contest the order compelling the sale of the three B777s, further prolonging the intricate negotiations and decisions surrounding the airline’s assets and ownership.