DGCA Approves Go First's Flight Resumption Plan With Certain Conditions

Aviation regulator DGCA on Friday said it has approved Go First’s plan to restart operations with 15 aircraft and 114 daily flights, subject to certain conditions. Budget carrier Go First, which stopped flying on May 3, is undergoing an insolvency resolution process.

In a release, the Directorate General of Civil Aviation (DGCA) said the airline’s resumption plan for operating 15 aircraft and 114 daily flights has been reviewed and accepted. “The acceptance is subject to the outcome of the writ petitions/ applications pending before the Hon’ble High Court of Delhi & Hon’ble NCLT, Delhi,” it said.

Go First may resume scheduled flight operations on the availability of interim funding and approval of flights scheduled by DGCA, the release said. Further, the regulator has directed Go First to ensure compliance with all the applicable regulatory requirements and the continued airworthiness of the aircraft engaged in operations.

The airline’s Resolution Professional (RP) submitted the resumption plan to DGCA on June 28, and subsequently, the regulator conducted a special audit of the carrier’s facilities in Mumbai and Delhi. “DGCA has ensured that the findings of the special audit have been adequately addressed by Go First,” the release said, adding that the resumption plan was amended on July 15.

Sonam Chandwani, managing partner at KS Legal & Associates, said, “From a legal perspective, the voluntary insolvency filing by Go First and the subsequent approval of its resumption plan by the DGCA represents a careful navigation of regulatory landscapes. It’s an illustration of how legal structures can provide a lifeline to companies in financial distress, allowing them to seek protection, regroup and strategise.”

Chandwani added that however, the specifics of the interim funding, its sources, terms and conditions will need to adhere strictly to the laws and guidelines set out by the respective authorities. “Moreover, this development underscores the need for ongoing regulatory support to ensure that businesses can recover from crises, while safeguarding the interests of all stakeholders involved.”

(With Inputs From PTI)