Latest news about jet airways crisis
The latest news about the jet airways crisis, Jet Airways is the big name in the Aviation Industry. Jet Airways has been one of the Top Class Aviation Companies in the World.
Jet Airways had bought Sahara Airlines when it was in crisis. But the time has changed today Jet Airways is dealing with Such Crisis.
The Jet Airways Crisis ha shocked the entire world including big names in the Aviation Industry.
In April 2019 the company declared themselves in crisis.
The employees of Jet Airways had been in dilemma over the companies crisis.
They haven’t received a salary for months and now they are on the brink of losing their jobs.
Why in News ?
Jet Airways is been hit hard by the crisis.
Jet Airways are on the brisk of Insolvency.
Now, SBI led consortium has decided to take Jet Airways to NCLT and send it to Bankruptcy Court.
What's the Crisis?
Earlier this year in April, it was revealed that Jet Airways will be suspending their Domestic and International operations.
After the news of suspending operations, Jet Airways share price saw a fall of about 31%.
On the other Hands, Banks have declined any kind of help to Jet Airways of 400 crores.
As Jet Airways was unable to pay for fuel and other services. Jet Airways is having a debt of 8500 crores.
It was set up on 1 October 2016 under Insolvency and Bankruptcy Code.
It is a unique regulator. It regulates the profession as well as processes.
Insolvency actually means Condition of Inability to pay debts by the firm to public or private sector banks.
Whereas, Bankruptcy is the legal status of Insolvency provided by the constitution.
It covers Individual, Companies, Limited Liability Partners, Partnership Norms.
This new code has actually accelerated the debt recovering speed by Resolution of stressed Assets in court.
How much money does Jet Airways need ?
Jet Airways actually needs to 7000 crores to pay the debts in the form of Loans.
Also, Jet Airways requires an additional 600 crores to pay Its employees.
Who can help?
As per the current standings of Jet Airways, it is very hard to say that who can help Jet Airways.
Banks have already cleared that no public or private sector banks can benefit Jet Airways.
The potential investors are the only one who can help them.
Etihad who is the major shareholder in Jet Airways is expected to take over the company.
There are the other Industries such as TDG capital, Indigo and National Investment & Infrastructure Fund (NIIF).
Even the name of Reliance Industries is high in the Media List