An Indian appeals tribunal on Monday upheld the insolvency proceedings against cash-strapped airline Go First in a setback to efforts of its lessors to repossess their aircraft.
At least three leasing companies, including GY Aviation Lease and SMBC Aviation Capital, had challenged a tribunal ruling granting Go Airlines (India), widely known as Go First, bankruptcy protection earlier this month.
The airline has blamed its financial woes on problems with engines from Raytheon-owned Pratt & Whitney, which it said had led to the grounding of nearly half its fleet of Airbus A320 neos. The U.S. engine maker has said the claims are “without merit”.
