REDjet’s creditors have agreed to accept at least 25 cents of every dollar which the insolvent airline owes them.
Even without the support of two major local creditors – Grantley Adams International Airport (GAIA) Inc. and the Commissioner of Inland Revenue – a vote taken last Tuesday gave REDjet the majority it needed to avert automatic bankruptcy. However, creditors will have to wait until at least next year to get any money back.
Attorney-at-law Anthony Audain, acting on behalf of Dr Grenville W. Phillips who was appointed trustee after REDjet filed for insolvency on June 5, said the High Court must now give the plan the final nod before the airline can go ahead with sorting out the repayments.
“I made an application to the court [Friday] and the hearing is on November 8, when we will ask the court to approve the proposal. The court will have to make its own judgment as to whether the proposal is feasible and whether it’s reasonable,” Audain told the SUNDAY SUN.