Go First crisis: DGCA issues show-cause notice to airline

NEW DELHI: In view of the sudden cancellation of flights and initiation of corporate insolvency resolution process under IBC by Go Airlines (India) Limited (Go First), the Directorate General of Civil Aviation (DGCA) has issued a show cause notice to Go First under the relevant provisions of the Aircraft Rules, 1937, for their failure to continue the operation of the service in a safe, efficient and reliable manner.

The airline operator has been asked to submit their reply within 15 days of the receipt of this notice, and further decision on the continuation of their Air Operators Certificate (AOC) will be taken on the basis of the reply submitted by them.

Further, Go First has been directed to stop booking and the sale of tickets directly or indirectly, with immediate effect and until further orders, the DGCA said. Go First cancelled all flights until May 12 due to operational reasons, the airline said on Friday.

"We regret to inform you that due to operational reasons, Go First flights scheduled till May 12, 2023 have been cancelled. We apologise for the inconvenience caused by the flight cancellations. A full refund will be issued to the original mode of payment shortly. We acknowledge the flight cancellations might have disrupted your travel plans and we are committed to providing all the assistance we can," said the Go First statement.

Earlier, the civil aviation regulator, the Directorate General of Civil Aviation (DGCA), examined the response of Go First and issued an order to the carrier to process their refunds to passengers.

In a statement, DGCA said that Go First has intimated that they have suspended the sale of their flights till May 15, 2023, and are working to refund or reschedule for future dates, the passengers already booked to fly with them.

The beleaguered Wadia Group-led airlines, Go First, on Thursday pleaded to the National Company Law Tribunal (NCLT) here for an interim moratorium after facing an acute cash crunch.

The airline has also sought direction to appoint an insolvency resolution process (IRP) for the betterment of Go First. The NCLT, after the hearing, reserved its order on Go Airlines' plea.