The National Company Law Tribunal prolonged on Thursday the corporate insolvency resolution process for grounded airline Go First by an additional 90 days.
The extension, effective Nov. 6, is set to conclude on Feb. 4. The NCLT emphasised the completion of the resolution plan within this specified timeframe.
Companies undergoing insolvency must undergo a resolution process, ideally completed within 180 days. However, the NCLT can extend this period to a maximum of 330 days. If no resolution is reached by the end of this extended period, the NCLT is obligated to order the company’s liquidation, according to the law.
A company can be given a one-time relief of 90 days to complete the process. Since this has been given now, the relief ca…
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