Delhi High Court Orders Deregistration of Go First’s 54 Aircraft: DGCA Given 5 Days

The Delhi High Court has ordered the Directorate General of Civil Aviation (DGCA) to cancel the registration of all 54 aircraft leased by Go First. The court has instructed DGCA to expedite the deregistration process of aircraft leased by Go First within the next 5 working days.

Justice Tara Vitasta Ganju Issues Orders

This order was issued by Justice Tara Vitasta Ganju’s bench on Friday. The High Court has also imposed a stay on Go First under the Insolvency and Bankruptcy Code for taking possession or collecting any documents, records, or any other material related to aircraft or spare parts from Go First’s directors.

Companies Demand Release of Aircraft

The leasing companies, including Pembroke Aviation, Accipiter Investments Aircrafts 2 Ltd, EOS Aviation, and SMBC Aviation, are included. These companies had filed petitions in the Delhi High Court demanding the release of aircraft leased to Go First. NCLAT had earlier upheld NCLT’s order on May 22, accepting Go First’s plea to publicly announce it, which had accepted Go First’s application for bankruptcy.

Understanding the Whole Matter

Go First airline had announced on May 2 that it was canceling all its flights for May 3, 4, and 5. On May 3, the airline had approached the National Company Law Tribunal (NCLT) for voluntary bankruptcy.

Flight Suspension Extended

Flight suspension was extended until May 9. Later, it was extended several times. Currently, all flights are suspended until July 10.

Relief Granted by NCLT

On May 10, NCLT granted relief to the airline, accepting the plea for a moratorium and appointing an IRP.

Debt on the Airline’s Lenders

Go First stated in its plea that it has repaid Rs 19,980 crore to its lenders since April 2020. Now, all its financial resources have been exhausted. A total of Rs 11,463 crore is owed to its lenders, including banks, financial institutions, suppliers, and aircraft lessors. Go First has stated that due to financial pressure, it is not ready to provide its services, including fuel suppliers and other service providers.

First Flight in 2005

The first flight operated from Mumbai to Ahmedabad in 2005. Go First is a budget airline of the Wadia Group. According to the company’s website, Go First was launched on April 29, 2004. The first flight from Mumbai to Ahmedabad was operated in November 2005. The airline has a fleet of 59 aircraft.

Details of the Fleet

Among them, 54 aircraft are A320 NEO and 5 aircraft are A320 CEO. Go First operates its flights to 35 destinations, including 27 domestic and 8 international locations. The airline changed its brand name from GoAir to GoFirst in 2021.