The crisis at Jet Airways

The ongoing crisis in Jet Airways is an outcome of tussle between stakeholders particularly Etihad and promoter Naresh Goyal who holds majority shareholding in India's second largest flyer.

This is a case of individual interest overlapping the corporate one. Now already stressed state-run banks are being persuaded to take over the Jet's liability by the government which doesn't want 23000 employees to go on roads.

Jet turmoil must be resolved by infusing capital through foreign route, initiating a joint venture with some international flyer of repute and converting debt into equity for ensuring proper valuation.

To avoid these kinds of financial crises in future particularly in aviation sector a separate fund can be created sourced by employees, management, government and banks.

K S Padmanabhan, Chennai