Grounded airline Go First's CEO Kaushik Khona resigns

The CEO of grounded airline Go First, Kaushik Khona, has resigned nearly seven months after the no-frills carrier initiated insolvency proceedings. In an email to the airline's employees on Thursday, Khona stated that November 30 would be his last day with the company. Khona had resumed his role as Go First's CEO in August 2020. Earlier, he was with the carrier from 2008 to 2011.

"With a heavy heart, I have to inform that today is my last day with the company. I got an opportunity to work for Go FIRST once again in August 2020 and with your able and active support I tried to perform to my best abilities," Khona said in the e mail, PTI quoted.

"... the Board of Directors decided to file for Section 10 application under the IBC and we still continued to provide the best support to the companyâ€æ We were hopeful that we will resume the operations soon and at least from June 2023 but it got delayed" he said in the e mail accessed by PTI.

According to reports, Section 10 pertains to voluntary insolvency proceedings under the Insolvency and Bankruptcy Code (IBC). According to him, all the airline's employees worked with "sincere dedication" to obtain Directorate General of Civil Aviation (DGCA) approval for the resumption of operations after conducting a detailed audit of all operations and aircraft. "Unfortunately, things have not worked in our favour inspite of huge efforts. Even salaries, we have not been paid for almost 6 months inspite of several requests and representations to all concerned including the RP, CoC (Committee of Creditors) and the Wadia Group," he added.

The company holds significant value, but unfortunately, the Resolution Professional (RP) has not found anyone who can take this forward, Khona said. Go First stopped flying in early May and filed for voluntary bankruptcy proceedings amid financial woes, primarily triggered by Pratt & Whitney engine issues.