Indian carrier Jet Airways has grounded a further six aircraft amid a deepening crisis.
The beleaguered company has been struggling under the weight of debts totalling more than than $1bn (£750m).
The airline has delayed payments to banks, employees, suppliers and even aircraft lessors.
A European cargo services provider seized one of Jet's planes at Amsterdam's Schiphol airport for non-payment of dues, leaving hundreds of passengers stranded.
"The cargo agent seized Boeing 777-300 ER (VT-JEW) of Jet Airways at the Amsterdam airport as the airline could not clear his dues," the airline source said.
Back home, Indian Oil stopped fuel supply to Jet for the third time this week across India for several hours.
India’s Directorate General of Civil Aviation (DGCA) has processed the deregistration of seven Boeing 737-800s, while it has received requests to deregister 13 more aircraft.
The deregistered aircraft correspond to two 737s managed by Avolon and five from MC Aviation Partners for which requests were made last week.
Jet Airways appears to have suspended all its international flights, raising fresh fears about the Indian airline's survival.
This comes after the carrier on Thursday grounded 10 more planes over unpaid fees to leasing firms.
Jet Airways Suspends Operations
The two-decade-plus success story of India’s first, private, full-service airline may finally be over. Jet Airways has "temporarily" suspended flights as of 10:30 p.m. (Indian Standard Time) tonight (1 p.m. EDT).
This follows the carrier’s largest lenders, which are owed around $1.2 billion, refusing to give in to a request for critical interim funding. While Jet was looking at an initial funding package of $225 million, it reduced this to $57 million on April 16 during a board meeting. The banks rejected this too. “Since no emergency funding from the lenders or any other source is forthcoming, the airline will not be able to pay for fuel or other critical services to keep the operations going,” said a Jet press release issued to the Stock Exchange. Jet, which was running on just six of its once 119-strong fleet, had already shut down international operations. A few days ago a lessor repossessed an aircraft in Amsterdam, leaving passengers stranded.
It is with deep sadness and with a heavy heart that we would like to share with you that, effective immediately, Jet Airways will be suspending all its domestic and international operations.
Late last night we were informed by SBI, on behalf of the consortium of Indian lenders, that they are unable to consider our request for interim funding. Since no emergency funding from the lenders or any other source of funding was forthcoming, it would therefore not have been possible for us to pay for fuel or other critical services to keep the operations going.
Zak wrote:Any bets on who's next? Asiana?