June 13 (Punjab Khabarnama) : The National Company Law Tribunal (NCLT) has given an additional 60 days to the defunct aviation company Go First to complete the insolvency process. This is the fourth extension given to Go First to complete the Corporate Insolvency Resolution Process (CIRP). The company is struggling to find a buyer. Earlier, the Insolvency Tribunal had given an extension of 60 days on April 8, which expired on June 3, 2024. Go First has now been given time till August 3, 2024.
Granting the extension, the Delhi-based NCLT bench said, ‘This is the last extension.’ The two-member bench also reprimanded the resolution professional for seeking an extension. The lawyer appearing for the ‘Resolution Professional’ (RP) informed the tribunal that they were seeking this extension due to the extraordinary situation arising after the Delhi High Court’s decision, in which the DGCA was asked to cancel the registration of all its 54 aircraft.
According to the RP, those who have shown interest in buying the airline have revised their offers and the lenders are yet to consider them. Therefore, an extension of 60 days is necessary. According to the Insolvency and Bankruptcy Code (IBC), CIRP is mandatory to be completed within 330 days. This also includes the time taken during litigation. According to Section 12 (1) of the Code, CIRP should be completed within 180 days. Go First stopped operating flights on May 3 last year.