NCLT allows 90 days extension for Jet Airways resolution
In a relief for the Jet Airways' lenders, the National Company Law Tribunal (NCLT) on Wednesday approved their request for an extension to the corporate insolvency resolution process (CIRP) of the airline by another 90 days.
 
The 270-day CIRP period of the grounded company ended on March 15. The Committee of Creditors did not receive any bid from the suitors who had expressed interest in the airline.
 
"It is hereby brought to the attention of the stakeholders that the application for extension of the CIRP period by another 90 days beyond the 270 days was filed by the Resolution Professional and the NCLT, Mumbai Bench in the hearing dated March 18, 2020 has approved for such extension," the company said in a regulatory filing.
 
The cash-strapped airline stopped its operations in April last year and is undergoing bankruptcy proceedings at the Mumbai bench of NCLT after its lenders led by the State Bank of India dragged it to the bankruptcy court.
 
In December, the NCLT approved the extension of the CIR) of Jet Airways by 90 days, after the 180 days deadline for CIRP period of the grounded airline had ended on December 16.
 
Under the insolvency and bankruptcy code (IBC), the maximum time limit for completion of CIRP has been set at 330 days, which includes the litigation period, as per a recent amendment. The suitors which had submitted expression of interest were South America-based Synergy Group, Russia-based Far East Development Fund, and New Delhi-based Prudent ARC in the second round of bidding.
 
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.
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    BS IV vehicle sales nose dive; FADA approaches SC for relief
    Facing difficulty in clearing BS IV vehicle stock as sales has dipped over COVID-19 outbreak, auto dealers have approached the Supreme Court again seeking extension of the deadline to register vehicles running on older emission norms.
     
    In an Interlocutory Application, the Federation of Automobile Dealers Associations (FADA) has sought modification in Writ Petition No. 13029 of 1985 in the matter of M. C. Mehta vs Union Of India & others, dated October 24, 2018, whereby it has been directed that "any motor vehicle conforming to emission standard Bharat Stage-IV shall be sold or registered in the entire country with effect from 01.04.2020."
     
    The court has accepted our application, but dates have not been given for hearing, FADA Vice President Vinkesh Gulati told IANS.
     
    FADA had filed an application in the apex court earlier as well with the prayer for an extension of registering BS IV vehicles in wake of huge unsold inventory and slowing sales. That application was, however, rejected by the court on February 14.
     
    "Post our initial application, there has been a drastic change in circumstances in conducting business as usual. SARS-CoV-2 a.k.a coronavirus (COVID-19) which emerged in Wuhan in the Hubei province of China has spread rapidly across the globe and also in India," FADA President Ashish Harsharaj Kale said.
     
    "Following this in the past week there has been drastic drop in sales and customer walk-ins have reduced to a trickle as caution sets in due to fear of spreading of the Virus. Counter sales has fallen by 60-70 per cent across auto dealerships in these past few days," he added.
     
    Apart from the nearing deadline, auto dealers are also facing problem of getting BS IV registered in few states. Some State governments issued circulars directing that no applications for registration of BS IV vehicles would be accepted on or after a certain date, which are much ahead of March 31, 2020.
     
    The Society of Indian Automobile Manufacturers (SIAM) on Monday said that it has approached the Supreme Court seeking directions for ensuring sale and registration of BS-IV vehicles are allowed till the cut-off date of March 31st, 2020.
     
    According to SIAM, the cut-off dates ranges from February 29, 2020 to March 25, 2020 from state to state, though the BS VI Emission compliance is mandated from April 1, 2020.
     
    The Supreme Court has directed that no BS IV vehicle will be sold or registered from April 1, 2020.
     
    Though several companies had already stopped production of BS IV vehicles earlier and have exported large quantities of inventory, some dealerships are still sitting on unsold stock. A few dealers are also selling these vehicles to online sale portals so that BS IV vehicles could be sold later in the second hand market.
     
    A petrol vehicle once registered has a life of 15 years while diesel 10 years.
     
    Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.
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    SC Threatens To Jail MDs of Telcos over AGR Fiasco
    The Supreme Court (SC) on Wednesday came down heavily on Telcos, the government and even the media as it said no further objection to its adjusted gross revenue (AGR) order will be allowed against the payable dues.
     
    "All the newspapers are trying to influence courts. All the companies are trying to influence us through the media," said Justice Arun Mishra. The top court said: "We will call all MDs of the telecom companies and send them to jail from here." 
     
    The apex court noted that the same government that had fought tooth and nail, and suggested penalty during arguments earlier was now wishing to do away with the interest. "If reassessment is permitted - it is fraud on this court," Justice Arun Mishra said and added he cannot begin a third round of litigation and asked the Centre who has permitted 'self assessment of dues'. 
     
    This was after the department of telecommunications (DoT) on Monday moved the SC seeking its approval for a 20-year window for payment of around Rs1.47 lakh crore AGR dues, as adverse functioning of the telecom firms could have a negative impact on the economy and consumers across the country. 
     
    The DoT demand has been confirmed by this Court, Justice Mishra said on Wednesday and asked "how can there be self assessment. This cannot be allowed when the Supreme Court clearly spells out the dues."
     
    Justice Mishra also said: "This is a question of the apex court's prestige. Do companies feel they are more powerful on earth?" in one of the strong observation made by the Court on the AGR issue.
     
    The Court said it will consider a government rescue plan for telecom companies in AGR case on next hearing which will be after two weeks.
     
    Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.

     

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    COMMENTS

    Meenal Mamdani

    8 months ago

    This is the same judge who heaped praise on Modi, an unusual breach of the separation of judiciary from the other branches of govt..
    Perhaps Mr Modi can call the learned judge and explain the situation.
    After all the praise lavished on Modi, the learned judge can hardly ignore Modi's recommendation.

    pskrishnan

    8 months ago

    High-handed and arrogant approach from Supreme Court. Whatever be the merits of the case, when the Government and the Telcos have agreed for a settlement why should Supreme Court interfere in this. What is the industry domain understanding of Supreme Court. Judges in India think that they are above Gods. After all the judges are all only private lawyers that have become public judges and they have no industry, administrative or pubic policy experience / expertise. India needs to reform the judicial system and put these private lawyers in place and show them their actual worth.

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