Sources have revealed that Go First will not contest the Delhi High Court's directive to deregister its 54 aircraft by the set deadline of May 3. This decision indicates a trajectory towards liquidation for the airline, a move that lenders have acknowledged as the only viable option left. The prolonged legal battles and subsequent deregistration of the aircraft have significantly impacted the value of the airline's assets, making it unfeasible for potential revival.
The deregistration of all 54 leased aircraft by the Directorate General of Civil Aviation (DGCA) follows a court order issued by the Delhi High Court on April 26. Efforts to challenge the court order and request a stay were unsuccessful, leading to the enforcement of the deregistration order. The airline had filed for bankruptcy in May last year, triggering a series of legal disputes involving lessors, former owners, lenders, and the resolution professional.
Go First's situation mirrors previous airline failures like Kingfisher Airlines and Jet Airways, highlighting the persistent challenges within India's aviation industry. Lessor concerns have been exacerbated by the condition of repossessed aircraft, with reports of missing engines and difficulties in restoring them to airworthy status due to deficiencies. The inability to repossess planes and engines has been a point of contention, prompting frustration among global lessors and creating obstacles for the airline's insolvency process.
Despite seeking extensions and legal relief, Go First's efforts to navigate insolvency have been hampered by ongoing litigations and regulatory challenges. The airline's troubles have attracted bidders like Sky One, SpiceJet promoter Ajay Singh, and Busy Bee Airways, though the recent deregistration of all aircraft has effectively extinguished any possibility of revival. The implications of this decision are substantial, signaling the end of operations for Go First and the resolution of its insolvency saga.