Delhi High Court on Wednesday permitted Pratt and Whitney (P&W) to inspect and carry out maintenance of thirty of their grounded aircrafts that it leased to GO First twice a month until the final disposal of their pleas. The order is seen as a sigh of relief as this would allow the insolvency ridden GO First to resume its flight operations.
GO Airlines Ltd. which carries its services as GO First has been under the Corporate Insolvency resolution Process (CIRP) since 10 May 2023. The Airlines suspended its services and grounded its fleet on 03 May 2023, sighting engine scarcity and fault engines by P&W. Thereafter the airlines voluntarily filed an application under Section 10 of the Insolvency and Bankruptcy Code, 2016 (IBC) seeking initiation of CIRP. The application was admitted by the Delhi Bench of National Company Law Tribunal (NCLT) on 10 May 2023 and moratorium was imposed on the company.
Relevant Judgment –
Accipiter Investments Aircraft 2 Limited v. Union of India & Anr.
Relevant Paragraph – 20.1
