Elix sends notice of grounding to TruJet for three planes

Leasing company Elix sent a notice to TruJet to ground three planes. The Ireland-based lessor has asked the Directorate of Civil Aviation (DGCA) to write off the ATRs leased to the debt-ridden regional airline.

According to documents reviewed by Activity area, Elix filed on April 5 an IDERA (Irrevocable De-Registration and Export Request Authorization) deregistration request for three registered ATR 72-212A numbers VT-TMU, VT-TMP and VT-TMK. As per protocol, the DGCA sent a notification to all affected parties on April 11.

When contacted, Umesh V, Managing Director of Turbo Aviation Private Limited, said: “They (Elix) have requested three, however, only one plane is being written off, but we are also trying to get it out. to resolve. We pay Elix $1.2 million.

He further added that TruJet is in talks with an investor for ₹200 crore funding. “We have received ₹30 crore from an investor on the ₹200 crore so far. We expect another ₹50 crore in the coming days. he said.

Elix has not replied to Activity areathe request.

However, a source at Elix told this newspaper that he was certain the DGCA would complete the write-off process because “the backlog is now over $10m and dates back to before Covid. Backers are done with Trujet – all rhetoric from TJ on recovering from here is rhetoric.

Cash crisis

TruJet has been facing an acute cash crisis for over 18 months now. Last April, the airline announced a potential investment from NRI businessman Laxmi Prasad, who had previously expressed interest in bidding for Air India and Jet Airways. However, there has been no progress on this front either.

Activity area had reported in the past year that the airline had lost most of its top executives, including CFO KG Viswanath, CCO Sudheer Raghavan, CEO Rtd Col LSN Murthy. At least 100 employees, including pilots, cabin crew, ground staff have left the company.

Recently, the DGCA approved a summer schedule for airlines in 2022 which was in effect from March 27, 2022 to October 29, 2022. This data did not include TruJet’s schedule.

Activity area had also reported that several of its planes were on the ground.

However, in a press release, the airline said it would restart operations with one plane. This too only lasted a few days.

According to the latest air traffic data from the DGCA, TruJet did not operate a single flight in March. Even in February, there were only 0.02 lakh passengers.

Published on

April 21, 2022

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