RBI<\/a> on the matter. \u201cIt is also directed that the CoC members who filed applications before this bench seeking exemption from further contribution of funds shall have to approach the relevant authorities to seek exemptions, so that they be able to contribute the necessary funds by the next date approved by this bench,\u201d said Justice Mohan. The matter will be heard again on February 19.<\/p>\nUnder the Reserve Bank of India\u2019s guidelines, banks that have poor asset quality and capital base would come under the PCA framework. Banks under PCA are required to restrict their risk-weighted assets. Without adequate funding, all attempts to revive the cash-strapped airline could meet an abrupt end.<\/p>\n
In the first meeting of Jet\u2019s committee of creditors (CoC) in July last year, the lenders had approved interim funding to the tune of Rs 60 crore for the upkeep of Jet\u2019s assets. Over five months later, less than one-third of the funding has been released, people aware of the matter told FE. The delay in payments had prompted the NCLT to pass an order directing banks to expedite the release of funds last year. IDBI Bank has filed claims worth Rs 594.52 crore, while IOB has claims worth Rs 171.73 crore with Jet Airways.<\/p>\n
Jet Airways was grounded in April after lenders refused to provide emergency funding to carry out operations. Insolvency proceedings against the airline were initiated two months later. So far, no concrete resolution plan has emerged for the revival of the airline. However, Jet\u2019s resolution professional (RP) Ashish Chhawchharia on Wednesday told the bench that a Colombian entity, Synergy Group, and another \u201cnon-aviation group with high net worth\u201d have submitted expressions-of-interest (EoI) after fresh bids were invited by the CoC late last month. Banking sources had earlier told FE that the Hinduja Group had shown renewed interest in Jet Airways. Chhawchharia did not confirm whether an EoI was received from Hinduja Group, and the group spokesperson was unavailable for comment.<\/p>\n
The Hinduja Group, which was understood to be interested in buying Jet Airways before insolvency proceedings were initiated last year, had subsequently pulled out of the race after talks reached a stalemate with the airline\u2019s erstwhile strategic partner, Etihad Airways. Now, interested parties have till January 15 to submit EoIs.<\/p>\n
During insolvency proceedings last year, the NCLT had passed an order directing banks to release the requisite funding after the RP\u2019s counsel had told the tribunal that proceedings could come to \u201ca grinding halt\u201d if funds are not expeditiously released. Chhawchharia on Wednesday told the court that some lenders have not released funds despite this order.<\/p>\n
![\"Jet](\"https:\/\/images.financialexpress.com\/2020\/01\/jet-airways.jpg\")