NEW DELHI: The Jet Airways pilots’ union approached the Supreme Court on Tuesday, asking it to intervene and effectively rescue the airline, days before the deadline for bids expires on May 10. National Aviators Guild (NAG) sought direction to SBI to provide the assured interim finance for restarting operations, suspension of which has affected the livelihood of around 22,000 employees.
Demanding that the airline not get deregistered, the plea also sought a direction to the Centre and the Director General of Civil Aviation (DGCA) not to allot slots of Jet Airways to other airlines on a permanent basis. The distressed airline, which had 115 aircraft, started suffering losses and has not paid its employees since last December.
The Board of Directors of the company had approved a plan on March 25 which envisaged infusion of Rs 1,500 crore over a period of time by State Bank of India so that the company could be sold as a going concern, but the promised funds were not disbursed, the plea said. The plea claimed that SBI’s decision not to infuse money was responsible for the operations of the airlines coming to a stop and its substantial devaluation.
“Despite the fact that an expression of interest has been invited and bid process to find a new purchaser is underway, the Centre and DGCA have already started allotting slots of Jet Airways in various airports to other airlines, which has seriously undermined the value of the company,” the plea said. The petitioner alleged that authorities had failed to appreciate the value of company, which lies in the flight slots and seats available in the international sector through various bilateral agreements.
With fewer slots and aircraft, Jet Airways employees expressed concern that none of the bidders will find the airline attractive as an asset. Meanwhile, the ex-chairman of Jet Airways, Naresh Goyal, wrote yet another emotional letter to the employees of the airline, saying he hoped and prayed “that the banks will finalise the bidders on the 10th of May and move forward in the interest of all employees.”