NCLAT agrees to hear Dutch Bankruptcy Administrator in Jet Airways Insolvency

The National Company Law Appellate Tribunal today agreed to hear a plea by Dutch Bankruptcy Administrator in connection with the ongoing Jet Airways Insolvency matter..Jet Airways is facing Insolvency proceedings in the Netherlands as well where it was declared bankrupt in response to a complaint filed by two European creditors. Subsequently, a Bankruptcy Administrator or “trustee in charge” was appointed by the Dutch court..As per a PTI report, a three-member NCLAT bench headed by Chairman Justice S J Mukhopadhaya also sought the assistance of the Dutch bankruptcy administrator in the matter..Meanwhile, the Dutch Administrator has agreed not to sell the confiscated assets of debt-ridden Jet Airways..The Appellate Tribunal has issued notice to the consortium of Jet Airways lenders and directed them to file their reply within two weeks..Last month, while admitting State Bank of India’s insolvency plea against Jet Airways, the National Company Law Tribunal had rejected the Dutch Administrator’s plea to recognise their proceedings..According to the order of NCLT passed on June 20, the total amount of debt granted to the Jet Airways by SBI alone stands at Rs 1,795.21 crore. There are several other financial creditors who have also granted a loan to Jet Airways. Also, the default amount stated to be Rs. 462.3938 crore were overdrawn amount over sanctioned limits of the cash credit facilities by SBI alone..Jet Airways owes more than Rs. 8,000 crore to lenders including consortium of banks led by the State Bank of India. The grounded airline also has a large debt by way of accumulated losses to the tune of Rs. 13,000 crore and vendor dues of over Rs. 10,000 crore and salary dues of over Rs. 3,000 crore..The matter would be heard by the Appellate Tribunal next on August 21.