Amid a severe fund crunch, the Wadia group-owned Go First airways on Tuesday, 2 May, announced that it will temporarily suspend all flights on 3 and 4 May, reported news agency PTI. Hours later, the Directorate General of Civil Aviation (DGCA) issued a show-cause notice to the airline on the cancelled bookings.
The airline has also filed an application for voluntary insolvency resolution proceedings before the National Company Law Tribunal (NCLT) in Delhi.
Go First CEO Kaushik Khona told PTI that more than half of its fleet has been grounded due to non-supply of engines by US-based aerospace manufacturer Pratt & Whitney (P&W), which has resulted in a fund crunch.
"It is an unfortunate decision (filing for voluntary insolvency resolution proceedings) but it had to be done to protect the interests of the company," Khona added.
He also said that once the NCLT admits the application, the flights will be resumed. The budget airline carrier will also submit a detailed report to India's aviation regulator, the report added.
(With inputs from PTI.)
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