Jalan-Kalrock plea: NCLAT reserves order on waiver to pay Jet lenders

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₹350 crore to the creditors of the grounded airline. The tribunal will pronounce the order on 28 August. During the proceedings, former union minister, and senior lawyer Ravi Shankar Prasad, representing JKC, stated that the consortium is prepared to pay ₹100 crore to the creditors led by State Bank of India by 31 August and the remaining ₹100 crore by 30 September.

Prasad also argued for adjusting the ₹150 crore performance bank guarantee along with the ₹350 crore. In response, the tribunal asked JKC to confirm to the court that the performance bank guarantee could serve as security for the deposit amount of ₹350 crore. Prasad stated that the approved resolution plan mentions the possibility of adjusting the performance bank guarantee.

Lenders in reply pleaded that JKC is not just seeking an extension, but rather attempting to modify the approved resolution plan. Additional Solicitor General N Venkatraman informed the court that they might consider an extension of time for JKC but oppose invoking the bank guarantee. The Committee of Creditors (CoC) further argued that JKC is finding it difficult to pay ₹350 crore considering their total claim of about ₹8000 crore, part of which is allocated for paying airline dues at the airport.

Lenders highlighted that the total expense of maintaining the airline is ₹390 crore, incurring a monthly expense of ₹22 crore. Lawyer Krishnendu Dutta, also appearing for JKC, argued that their request to lenders is to initiate proceedings, as even after paying ₹350 crore, the company won't transfer to JKC easily due to the need for various approvals such as stock exchange and SEBI approvals, and the cancellation of previous shareholding still held by erstwhile promoters. JKC also noted that