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Jet Airways' founder Naresh Goyal agrees to step down as chairman

Jet Airways founder   Naresh Goyal agrees to   step down as chairman

NEW DELHI: Jet Airways' founder Naresh Goyal has agreed to step down as chairman of the airline's board, a source with direct knowledge of the matter told Reuters website Thursday, as the cash-strapped Indian carrier inches closer to securing a rescue deal.

Eithad, which owns a 24 percent stake in Jet Airways, is however reticent to provide interim funding of about 7 billion rupees ($99 million) to Jet Airways, the source said. Jet did not immediately respond to a request for comment.

Saddled with a billion dollars in debt, Jet has defaulted on loans and has not paid pilots, leasing firms and suppliers for months. Lessors have grounded more than a dozen of its planes pending payment of dues.

Meanwhile, Loss-making carrier Jet Airways Thursday said six more aircraft have been grounded due to non-payment of lease rentals. With this, the total number of aircraft taken out of operations due to severe liquidity crunch in the airline and its subsequent failure to pay rentals to various lessors now stand at 19 so far this month, as per the airline.

In a filing to the stock exchanges, the full-service airline said, "An additional six aircraft have been grounded due to non-payment of amounts outstanding to lessors under their respective lease agreements."

Agencies

Agencies

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