Go First’s Planes Vanish

In recent news, the Delhi High Court has made a ruling that has granted permission to the lessors to deregister and seize control of all 54 planes owned by Go First, which is a significant setback for the airline. The verdict has left creditors with little hope of receiving reasonable compensation, and the airline’s bankruptcy process might halt without any hope of revival.

The court’s decision has directed the DGCA (Directorate General of Civil Aviation) to deregister and transfer all the planes to the lessors while prohibiting the airline from taking any documents or spare parts from the aircraft. As a result, the resolution professional will provide all the necessary information to the lessors to take control of the airplanes.

This news is a severe blow to Go First, which had already sold most of its assets and relied on the planes’ sale for a reasonable valuation. The airline will now have to find a way to navigate the bankruptcy process with few remaining assets. On the other hand, the creditors will also have to find alternative ways to recover their investment, as this verdict has left them with little hope.

In response to this ruling, the lenders will convene a meeting to decide the future course of action. The situation has become increasingly challenging for the airline, which was already struggling to keep afloat in the pandemic-hit aviation industry.