New Delhi, Jan 13,2023: In a relief to the Jalan Kalrock consortium (JKC), the National Company Law Tribunal (NCLT) on Friday approved the transfer of ownership of Jet Airways to it as well as giving it more time to pay the dues to the creditors.

Shares of the grounded Jet Airways rallied 5 per cent on Friday after the development.

The rulings followed two petitions filed by the consortium, including approval of transfer of ownership and extension of time for the payment of dues to the creditors.

The tribunal’s Mumbai bench allowed the consortium’s plea to transfer the ownership of the airline. A two-member bench of Pradeep Narhari Deshmukh and Shyam Babu Gautam said as the effective date of the resolution plan has been taken as November 16, the consortium will get six months from the said date to make the payments to the creditors.

After this order, the consortium will have time till mid-May this year to make the payments to all the creditors, including workmen and employees.

Counsel for the lenders Rohan Rajadhyaksha had sought a two-week stay on the order but the plea was rejected by the tribunal.

Meanwhile, in a statement, the consortium said the tribunal has ordered the transfer of ownership of the airline to it in compliance with the resolution plan the tribunal previously approved. “We await the detailed judgement that follows this order to provide further details, if any, on the matter,” it said.

Jet Airways shut down in April 2019 over massive piling losses and debt. After the insolvency resolution process in June 2021, JKC was declared the winning bidder.

Relaunch of the grounded Jet airways is awaited after it received the air operator certificate from the aviation regulator Directorate General of Civil Aviation (DGCA) in May 2022.