Jet Airways has proposed to suspend all operations of the airline at its board meeting on Tuesday, according to ET Now.
If the proposal goes through by the management of the airway, it may result in job losses of about 17,000 employees. The meeting of the management was held following a promise of an infusion of Rs 1,500 crore by the lenders who own a controlling stake in the airline.
While the firm has debt exceeding Rs 10000 crore, a meagre Rs 1500 crore is a tiny dose of fund which is deemed necessary for the daily operation of the airlines. The airlines, which was once a 123-aircraft fleet has now been reduced to just seven-plane operation.
Meanwhile, Jet Airways founder Naresh Goyal has decided not to bid for acquiring a stake in the cash-strapped airline, sources said on Tuesday.
The full-service carrier, which is currently operating less than 10 aircraft, is awaiting fresh fund infusion under a debt resolution plan.
Airline sources said Goyal, who had stepped down as chairman of the carrier last month, has withdrawn the bid for the airline.
On April 12, sources said that Goyal had also put in a bid for the carrier.
SBI Capital Markets has the mandate for Jet Airways' sale on behalf of the SBI-led consortium of the domestic lenders to the debt-ridden private carrier.
Last month, Goyal and his wife Anita Goyal stepped down from the board of the airline, which has more than Rs 8,000 crore debt.