Lenders have expressed their inability to provide further capital to pay one month’s salary of Jet Airways employees following a recommendation from the National Company Law Tribunal (NCLT).
A proposal was submitted by the resolution professional to the committee of creditors in its second meeting on Thursday. The committee took a sympathetic view of the request but is unwilling to provide further capital, a source said.
An amount of Rs 90 crore was sought to pay salary to around 8,000 Jet employees. In the first meeting, lenders had agreed to release around Rs 70 crore to the airline for asset preservation purposes but the amount is yet to be processed. Jet was referred to the bankruptcy court on June 20 by State Bank of India after bankers failed to find any takers despite months of negotiations.
