Jet Airways pilots

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EPA

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Jet Airways pilots haven’t been paid for months

The troubled Indian airline Jet Airways has did not safe emergency funding from its lenders.

The corporate, which final week suspended all worldwide flights, has prolonged the cancellation interval till Thursday.

It was India’s second-largest airline by market share, till lately. However dozens of its planes have been seized by collectors, leaving the agency with solely seven operational plane.

Chief govt Vinay Dube stated Jet’s board would meet on Tuesday.

Hundreds of passengers have been stranded because of the agency’s lack of funds. Jet now has money owed of greater than $1.2bn (£900m).

In a letter to employees, Mr Dube stated that interim funding had “not been forthcoming up to now”.

He added: “We are going to hold you up to date on all important developments.”

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Reuters

The airline was flying 600 home and 380 worldwide routes.

Pilots, engineers, and floor employees, who haven’t been paid since December, have stated they may strike if the banks don’t inject emergency funds.

They’d deliberate to strike from Monday, however postponed the motion till after the bankers’ assembly.

Jet Airways owes cash to staff and suppliers and in recent weeks it has grounded aircraft and cancelled hundreds of flights as its monetary strains worsened.

Final month, in an uncommon transfer, the federal government stepped in and requested public sector banks to rescue the non-public service.

India is within the midst of a nationwide election, and the federal government didn’t need the airline to be grounded as that will have affected 23,000 jobs.

A consortium of traders led by the State Financial institution of India (SBI) took management of the airline in March.

The airline was based by Naresh Goyal greater than 25 years in the past and he and his household at present personal 52%, though that majority stake is anticipated to be misplaced as lenders’ restructure the debt.

Jet is 24% owned by Etihad Airways, which has expressed an curiosity in taking extra management.

Mr Goyal, who stepped down as chairman final month, can be thought to have lodged a bid, as have a number of non-public fairness teams.