New Delhi| The National Company Law Tribunal (NCLT) has approved GoFirst’s application for voluntary insolvency resolution process. Also, NCLT has given protection to GoFirst from recovery of lenders. The company had sought an interim moratorium on financial obligations with liabilities of Rs 11,463 crore.
The tribunal has asked the interim resolution professional (IRP) Abhilash Lal not to lay off employees. The company has more than 7000 employees. GoFirst has suspended the sale of tickets till May 19. CEO Kaushik Khona has said in this regard that the crisis has arisen due to stoppage of supply by the American firm Pratt & Whitney, which provides engines to airlines.