Crisis-hit aviation company Go First has cancelled flights until June 25 due to 'operational reasons'. In a Twitter post on Wednesday, Go First said: “We regret to inform that due to operational reasons, Go First flights scheduled till 25th June 2023 have been cancelled. We apologise for the inconvenience caused by the flight cancellations," Go First said.
"We acknowledge the flight cancellations might have disrupted your travel plans and we are committed to providing all the assistance we can," the tweet read.
The tweet further said the company has filed an application for immediate resolution and revival of operations.
"As you are aware, the company has filed an application for immediate resolution and revival of operations. We will be able to resume bookings shortly," it added in its letter.
Go First had suspended its operations from May 3 attributing the decision to problems with engines provided by Pratt&Whitney. Following this, the cash-strapped carrier, which had been flying for more than 17 years, filed for voluntary insolvency resolution proceedings before the National Company Law Tribunal (NCLT) on May 2 and the plea was admitted on May 10.
Earlier this month, the airline had submitted a revival plan to the DGCA under which it has proposed to resume operations with a fleet of 26 aircraft.
On Tuesday, it was reported that the Comittee of Creditors (CoC) to Go First on Wednesday will review the airline’s plans to resume operations and consider its funding requirements. Earlier, DGCA had asked the airline to submit a flight resumption plan, which has been ratified by lenders.
Sources told Financial Express that the CoC, which includes Central Bank of India, Bank of Baroda, IDBI Bank and Deutsche Bank, may be positively inclined to ratify the resumption plan and approve interim funding of around Rs 200-400 crore.
Go First has undrawn limits of about Rs 200 crore under the Central government’s Emergency Credit Line Guarantee Scheme (ECLGS), which was introduced to support sectors like travel and tourism that were adversely impacted by the pandemic.
Last week, lenders voted to appoint Shailendra Ajmera from KPMG as the Resolution Professional (RP).
The report said that if the airline gets necessary approvals, it can then operate chartered flights between Delhi-Srinagar and Delhi-Leh within 48 hours by deploying two aircraft. Thereafter it will be able to resume scheduled services, mainly on the Leh, Srinagar, and Chandigarh routes.