15 candidate administrators of THAI rehabilitation plan nominated by Transport Ministry
The Transport Ministry has nominated 15 candidates for administrator, of the rehabilitation plan for ailing Thai Airways International, to Prime Minister Prayut Chan-o-cha for consideration.
Transport Minister Saksayam Chidchob said today that, once the list is approved by the Prime Minister, tentatively this week, it will be submitted to the Central Bankruptcy Court for consideration.
The appointment of the administrators comes after THAI submits a bankruptcy petition to the Central Bankruptcy Court.
Minister Saksayam outlined the bankruptcy procedure, starting with seeking approval from the cabinet to enable the beleaguered carrier to file a bankruptcy petition, followed by the Finance Ministry reducing its stake in the airline to below 50%, which will deprive THAI of its status as a state enterprise, to facilitate the bankruptcy proceedings.
The next step is for THAI to file the bankruptcy petition with the Central Bankruptcy Court and to propose the administrators, who will negotiate with the airline’s creditors.
Once the court accepts THAI’s petition, the national flag carrier will come under the protection of Section 90/12 of the Bankruptcy Act, and all the debts of the airline will be frozen automatically.
The court will appoint administrators, as proposed by the Transport Ministry, and they will draw up the rehabilitation plan, which will then be proposed to the creditors.
Once the plan is approved by the creditors and the court, the administrators will take over the management of THAI and execute the plan, said Mr. Saksayam.