Jet Airways’ ₹538 Crore Assets Seized by ED in Bank Fraud Case, Company Owner Behind Bars Since September 1st

The Enforcement Directorate (ED) has taken action against Jet Airways founder Naresh Goyal and five others in a bank fraud case, involving the seizure of assets worth 538 crores INR. The attached assets include 17 residential flats, bungalows, and commercial premises owned by various companies and individuals.

Previously, on October 31, the ED had filed a charge sheet against Naresh Goyal and other accused in a case related to a 538 crore INR loan default in the Yes Bank money laundering case. In this case, the ED arrested Naresh Goyal on September 1. He is currently in custody at the Arthur Road Jail in Mumbai.

The bank’s accusation is related to irregularities. Canara Bank had alleged that Jet Airways had transferred 1,410.41 crores INR to various connected companies, which is believed to have been done to siphon off funds from the company’s accounts.

The Goyal family’s expenses, including staff salaries, phone bills, and vehicle expenses, were reportedly borne by Jet Airways. Naresh Goyal had founded Jet Airways in 1993 and had resigned from the chairman’s position in 2019.

Jet Airways ceased operations in April 2019. At one point, it was India’s largest privately-owned airline and the largest full-service carrier in South Asia. However, due to financial troubles, Jet Airways was grounded on April 17, 2019.

In June 2021, Jet Airways won a bid under the insolvency resolution process of the National Company Law Tribunal (NCLT), allowing for its revival. Since then, the process of reviving the airline has been ongoing, but it has not resumed operations yet.

The consortium, Murari Lal Jalan and Kalrock Capital, are the successful bidders for the revival of Jet Airways. Murari Lal Jalan is based in Dubai, while Kalrock Capital Management Limited is a global firm located in London that specializes in financial advisory and alternative asset management.

Niyati Rao

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