Lenders to begin insolvency proceedings against Jet Airways

New Delhi Insolvency proceedings against Jet Airways are likely to begin this week as a consortium of lenders led by the State Bank of India SBI failed to find a buyer for the beleaguered airline The National Company Law Tribunal NCLT could hear insolvency petitions filed by the airlines operational creditors for recovery of dues on June 20 reports saidOn Monday the consortium of lenders decided to begin insolvency proceedings against Jet Airways as the SBI had received only a conditional bid subject to lenders arranging for regulatory exemption on an open offerFurther Etihad expected the banks to write off most of its loans to Jet As the grounded airlines assets are inadequate lenders are worried about a significant haircut Besides Jets shareholder Etihad the Hinduja Group was among those interested in buying a stake in the airline but the talks did not lead anywhereSBI said in a statement A meeting of lenders was held today to consider the way forward in respect of Jet Airways After due deliberations lenders have decided to seek resolution under the Insolvency and Bankruptcy Code 2016 IBC since only a conditional bid was received and requirement of the investor for SEBI exemptions and resolution of all creditors is possible under IBCIt added Lenders led by SBI have been making efforts to find a resolution for Jet Airways outside IBC but in view of the above lenders have decided to seek a resolution within the IBC processJet Airways shut operations on April 17 owing to a severe liquidity crunch leaving thousands of employees jobless It was burdened with outstanding loans of Rs 8500 crore and liabilities worth Rs 25000 croreIn recent weeks SBI repeatedly said that insolvency is not a preferred option but only a last resort as recoverability in the airline business is difficult from a bankrupt organisationTop five news stories of the dayThe Dutch mystery Missing Mumbai man spied on and hit his wifeNeighbours of Sharmila Shinde who died under mysterious circumstances in Amsterdam reveal a dark side to her husband Avdhut who is wanted by Dutch police local police in Pune confirm she filed a complaint against him Read full storyMumbai Crime Drunken youth bangs car into cab kills passenger in GoregaonA 33yearold Andheri West resident died on Sunday night when a car driven by a 19yearold drunken boy banged into the cab he was travelling in near Virvani bus stop Goregaon East on the Western Express Highway The impact of the collision was such that the passenger identified as Shaileshkumar Pyarelal Mishra got badly injured and started bleeding from his mouth and nose On being informed the Vanrai police reached the spot and rushed him to HBT Trauma Care Municipal Hospital in Jogeshwari but he was declared dead even before being admitted Read full storyWoman who accused Karan Oberoi of rape planned attack on self to strengthen caseThe 35yearold astrologer who accused actor Karan Oberoi of rape was arrested on Monday by Oshiwara police for staging an attack on herself The police had earlier arrested her lawyer Ali Kaashif Khan The astrologer was attacked by two bike borne men on May 25 when she was on her morning walk Read full storyMumbai Man injured after iron scaffolding falls on him dies in hospitalRahul Saraf who was badly injured when iron scaffolding near the GST office in Parel fell on him last Thursday died on Sunday night The family of Saraf 35 Director of Maxgrow India Pvt Ltd donated his organs and the last rites were performed on Monday The Bhoiwada police have now added 304A death due to negligence section in the offence after Rahuls death Read full storyAfter 13 deaths Bandras fatal Ubridge to be walled for safetyThe Ubridge that connects Bandra East to West has been claiming more than three to four lives every year since 2015 As per the traffic departments statistics mdash accessed by midday mdash in four years 14 lives have been lost on the stretch while another 25 have been critically injured at this deadly turn This year alone three people died on the same spot Fortunately there were no casualties on the stretch in 2018 but from 2015 to 2017 11 people were killed on the deadly bridge Read full storyCatch up on all the latest Crime National International and Hatke news here Also download the new midday Android and iOS apps to get latest updates