Jet moves court to stop Sahara from operating escrow account

Jet Airways on Wednesday filed an arbitration in Bombay High Court, saying conditions agreed upon for the takeover of Air Sahara have not been fulfilled.

Jet Airways on Wednesday filed an arbitration in Bombay High Court, saying conditions agreed upon for the takeover of Air Sahara have not been fulfilled, and sought a direction to restrain the latter from operating the escrow account for the deal.

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In its petition, Jet contended that Sahara and its seven directors should be restrained from issuing notices to escrow agents to the effect that the conditions agreed in the sale-purchase agreement had been fulfilled.

Jet had transferred Rs 500 crore to the escrow account as advance to the Rs 2,300 crore deal.

Under the conditions agreed by the two parties, facilities like parking bays, arrival and departure slots had to be automatically transferred to Jet, but this did not happen.