Cash-starved Go First reacts after DGCA bars airline’s ticket sales

Go First filed for insolvency resolution proceedings in the National Company Law Tribunal (NCLT). (Representative Photo)


A day after the Director General of Civil Aviation or DGCA on Monday asked cash-starved Go First to immediately stop ticket sales, the airline said it had already stopped taking bookings before the aviation regulator issued the notice, “to reduce the inconvenience to passengers”.

Go First filed for insolvency resolution proceedings in the National Company Law Tribunal (NCLT). (Representative Photo)

Go First also said it was taking all possible measures to reduce passengers’ inconvenience.

“To reduce the inconvenience to the passengers, we had already stopped taking bookings, before the DGCA issued the Notice. GO FIRST is taking all possible measures to reduce passenger inconvenience. As regards the DGCA Notice, the same will be responded to, in due course,” the spokesperson of Go first said.

The airline cancelled all its flights till May 12 and suspended the sale of tickets till May 15. Against this backdrop, the DGCA, on Monday, directed the airline to immediately stop ticket sales and also issued a show cause notice for its failure to continue the operation of the service in a safe, efficient and reliable manner.

The DGCA has asked the airline to submit its reply within 15 days of the receipt of the show cause notice, and further, a decision on the continuation of its Air Operator’s Certificate (AOC) will be taken on the basis of the reply submitted by it.

Go First cancelled all its flights starting from May 3 amid a financial crunch owing to the non-delivery of engines by Pratt & Whitney and the subsequent grounding of a large part of its fleet.

With liabilities worth 11,463 crore and a financial crunch, the airline has sought voluntary insolvency resolution proceedings and an interim moratorium on its financial obligations.

The cash-strapped carrier has not flown since May 3, a day after filing for voluntary insolvency resolution proceedings before the National Company Law Tribunal (NCLT).

The lessors of the carrier have opposed Go First’s plea for an interim moratorium contending that it would have “harmful and serious consequences”.

In a setback to the ailing airline, lessors have so far sought the deregistration of 36 planes of Go First.




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