Busy Bee Airways Pvt Ltd, one of the prospective bidders for the grounded airline Go First, has formally approached the National Company Law Appellate Tribunal (NCLAT) to challenge the decision made by the National Company Law Tribunal (NCLT) to liquidate the airline. This move comes after the NCLT issued an order on January 20, 2025, which directed the liquidation of Go First, following a unanimous vote by the airline’s creditors who argued that the airline lacked the necessary assets and a viable plan for recovery.
The decision to liquidate Go First was based on the airline’s severe financial difficulties, which were exacerbated by its inability to pay off outstanding debts. The creditors, after evaluating the situation, concluded that liquidation was the only feasible option due to the airline’s current insolvency and its bleak prospects of recovery.
However, Busy Bee Airways, which had shown interest in acquiring the distressed carrier, has expressed its disagreement with the liquidation order. On January 21, 2025, Busy Bee Airways notified the NCLT of its intent to challenge the decision, stressing that it had plans to submit a resolution plan that would allow it to take over Go First, possibly saving the airline from liquidation and facilitating its revival. The airline’s bid could potentially offer a route to restructure the business, including its debts and operations, and avert the need for liquidation.
The NCLAT, which is set to hear Busy Bee Airways’ plea on January 23, will determine whether the liquidation process should proceed or if the bid to revive the airline should be considered. The outcome of this hearing could significantly impact Go First’s future and the broader aviation industry, particularly as it pertains to the treatment of distressed airlines in India.
