Go First, a domestic airline previously known as Go Air has said that it will continue to suspend all flights until 30 May and will issue refunds soon. This decision came after the airline filed for involuntary insolvency on 2 May and initially announced a two-day suspension of flights.
The company has assured passengers that a full refund will be issued shortly.
The cancellation of flights until 30 May is attributed to “operational reasons,” as stated in a tweet by the airline.
Go First expressed regret for the inconvenience caused by the flight cancellations and promised to reimburse affected passengers through their original mode of payment. Additionally, the company mentioned that it will soon resume accepting bookings.
The announcement from Go First coincided with a directive from the Directorate General of Civil Aviation (DGCA), the aviation regulator, which requested the financially struggling airline to submit a comprehensive plan within 30 days to revive its operations. The plan must include details about the availability of operational aircraft, pilots, funding, maintenance arrangements, and agreements with lessors and vendors, among other information.
Go First, currently undergoing voluntary insolvency resolution proceedings, ceased operations on 3 May. This has prompted lessors, who had leased aircraft to the carrier, to seek the return of their planes. The DGCA had advised the airline on 24 May to formulate a restructuring plan to ensure a sustainable revival of its operations.
Once Go First submitted its revival plan, the DGCA will review it for further action.
Meanwhile, the National Company Law Appellate Tribunal (NCLAT) upheld the decision made by the National Company Law Tribunal (NCLT) to admit Go First’s plea for voluntary insolvency resolution proceedings on 22 May.
The NCLAT ruling came in response to petitions filed by four lessors who opposed the airline’s insolvency resolution proceedings.