 "DGCA okays Go First plan to resume flights on availability of interim funds")
The Directorate General of Civil Aviation (DGCA) on Friday approved Go First’s plan to resume flights subject to the outcome of pending court cases and availability of interim funding.
If Go First resumes services, this would be the first time since Modiluft (now SpiceJet) in 2004 that an insolvent airline would be operating commercial flights again.
“The resumption plan (of Go First) dated June 28, 2023 — amended vide communication dated July 15, 2023 — for operating 15 aircraft/114 daily flights, has been reviewed and accepted by DGCA,” the regulator’s statement noted.
The regulator has asked the resolution professional (RP) to submit the proposed flight schedule in proportion with the available resources. These should include airworthy aircraft, qualified pilots, cabin crew, aircraft maintenance engineers and flight dispatchers, among other things.
Once this schedule is submitted, the regulator will be able to approve it after which the airline can sell tickets to passengers. Go First had suspended its flights from May 3 after filing an insolvency application with the National Company Law Tribunal (NCLT).
The carrier had squarely blamed engine maker Pratt & Whitney for its cash crunch. It said that about half of its 54 aircraft are grounded due to delay in supply of engines by the US-based company. The airline’s application was admitted under the insolvency process on May 10.
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Its committee of creditors (CoC), on June 25, agreed to support the carrier’s request for Rs 400-crore interim funding to restart operations. On June 28, the airline’s RP Shailendra Ajmera showed a flight resumption plan to the DGCA.
The RP said that the airline can operate about 160 flights per day using the 26 active aircraft in its fleet. A special audit of Go First facilities was conducted at Mumbai and Delhi airports between July 4 and 6.
On the runway
May 3: Go First suspends operations after filing for insolvency with NCLT
May 10: Airline's application admitted
June 15: NCLT appoints Shailendra Ajmera as Resolution Professional (RP)
June 25: Airline’s CoC agree to support carrier's request for Rs 400 cr interim funding to restart operations
June 28: RP presents flight resumption plan to DGCA
July 4-6: DGCA conducts special audit of Airline facilities in Mumbai and Delhi
July 19: Go First scales down resumption plans after DGCA flags issues
July 21: DGCA gives a go-ahead to resume flight operations