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Kingfisher says to appeal winding-up plea by creditor

Source : REUTERS
Last Updated: Mon, Feb 03, 2014 06:00 hrs
A Kingfisher Airlines aeroplane sits on the tarmac at Chhatrapathi Shivaji International Airport in Mumbai

Grounded carrier Kingfisher Airlines Ltd said on Monday it will appeal against a court order accepting a winding-up petition by a UK-based creditor.

Kingfisher, which has not flown in more than a year for want of cash, said it would appeal against the Karnataka High Court's order admitting the petition by Aerotron Ltd. Kingfisher said Aerotron was an unsecured creditor.

A Kingfisher spokesman declined to comment further.

Kingfisher, controlled by flamboyant liquor baron Vijay Mallya, owes more than $1 billion to Indian state-run lenders, and hundreds of millions of dollars more to airports and the tax office among others.



India does not have a formal bankruptcy process. Liquidation pleas could take years before a final verdict.

Kingfisher has said several times in the past that it was trying to arrange funds and revive operations, but has seen little success so far.

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