Go First, a domestic airline, has extended the suspension of its flights until May 28 in order to address operational issues. The airline had previously stated that it would stop operating until May 26.
On May 2, Go First announced the suspension of its flights, initially for two days, and filed for involuntary insolvency. The airline had previously expressed optimism that it would soon be able to accept reservations again.
The no-frills airline ceased operations on May 3, and lessors are attempting to reclaim the aircraft they had leased to the airline. The airline is currently going through a voluntary insolvency resolution process.
The airline has been given 30 days to submit a detailed plan for the revival of its operations, including information on the availability of flyable aircraft and pilots, to the Directorate General of Civil Aviation (DGCA).
The airline has been asked to provide information regarding, among other things, the status of the availability of the fleet of operational aircraft, pilots and other personnel, maintenance plans, funding and working capital, and agreements with lessors and vendors.
“Go First Faces 30-Day Deadline to Submit Revival Plan to DGCA”
The watchdog would review the revival plan after Go First had submitted it to determine the next course of action.
The airline has stated that it will soon be able to accept new reservations. When the airline will be able to resume its flight operations is unclear, though.
Passengers are stuck because Go First’s flights have been cancelled. The airline has stated that it will give passengers who have been impacted by the cancellations full refunds.
Jobs at Risk as Airline Files for Bankruptcy
For the Indian aviation industry, the suspension of Go First’s flights represents a significant setback. Millions of passengers’ travel plans will be impacted by the suspension of the airline, one of India’s largest domestic carriers.
The airline’s bankruptcy proceedings are also probably going to hurt the Indian aviation sector. Millions of passengers’ travel plans could be disrupted and jobs lost if the airline were to close as a result of the proceedings.
The COVID-19 pandemic is already posing difficulties for the Indian aviation sector. The industry has already taken a hit from the cancellation of Go First’s flights, and more job losses and travel delays may follow.