Go First crisis is still on. As per a latest report, the lenders of crisis-hit Go First may consider the big four accounting firms for the resolution professional (RP) job.
According to a report in the Economic Times, Go First’s lenders think that multiple firms must be evaluated for the role of RP. Hence, several professionals backed by giants like KPMG, Deloitte, Ernst & Young (EY), PwC and even Grant Thornton are expected to be interviewed for the job.
The update comes just a few days after the National Company Law Appellate Tribunal (NCLAT) upheld the National Company Law Tribunal (NCLT’s) order, permitting Go First’s voluntary insolvency and not allowing lessors take back the aircrafts.
In its NCLT plea, Go First submitted for voluntary insolvency proceedings and also got the go-ahead for this. As of now, Go First airlines is under the administration of an interim resolution professional (IRP), one that has been recommended by its former management.
The report adds that Go First’s lenders including Bank of Baroda (BoB), Central Bank of India, IDBI Bank and Deutsche Bank, are willing to check out other options as well while considering someone for the role of RP.
As per the current rules, once the committee of creditors of an insolvent company is convened post a court order, the creditors have the right to appoint a resolution professional of their choice, as per the report on Go First crisis.
