Go First Faces Financial Crunch, Grounds Flights For 3 And 4 May
Go First, owned by Wadia group, will halt flights on 3 and 4 May due to financial difficulties, says its chief Kaushik Khona.
The low-cost airline has applied for insolvency resolution proceedings with National Company Law Tribunal (NCLT), Delhi, reports PTI.
Khona told PTI that due to non-supply of Pratt and Whitney engines, the airline has grounded more than half of its fleet, which amounts to 28 planes, causing a financial shortage.
"It is an unfortunate decision (filing for voluntary insolvency resolution proceedings) but it had to be done to protect the interests of the company," he said.
The airline has notified the government of the recent events and intends to provide a comprehensive report to the aviation regulator, the Directorate General of Civil Aviation (DGCA).
As per Khona's statement, flights are set to be suspended on 3 and 4 May, and will resume once the NCLT accepts the application.
Go First has a workforce of over 5,000 employees.
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