NCLT Bengaluru Declines Plea by Kingfisher Airlines Employees for Salary Dues, Directs Them to Karnataka High Court

April 2, 2026 : The National Company Law Tribunal, Bengaluru Bench, has dismissed an application filed by 78 former employees of Kingfisher Airlines seeking disbursement of their admitted salary dues, holding that the appropriate forum for such relief is the Karnataka High Court, which is supervising the winding-up proceedings of the company.

A Bench comprising Justice Sunil Kumar Aggarwal (Judicial Member) and Radhakrishna Sreepada (Technical Member) passed the order while rejecting the application filed by pilots and staff members of Kingfisher Airlines (under liquidation).

The applicants had approached the Tribunal under Sections 280, 292, 326, and 327 of the Companies Act, 2013, seeking directions for payment of their outstanding salaries, flying allowances, and other service benefits along with interest at 8%. Their claims had already been determined and quantified by the Official Liquidator, and Form 69 had been issued between 2022 and 2023.

It was contended that despite recoveries from the company’s assets, no disbursement had been made. The employees highlighted prolonged non-payment during the final phase of the airline’s operations prior to its winding-up order dated November 18, 2016. They also pointed out that several representations, including a legal notice issued in April 2025, had failed to yield any relief.

The Tribunal noted that the applicants had previously approached multiple forums. A writ petition before the Delhi High Court was dismissed with liberty to pursue appropriate remedies, and subsequent proceedings before the NCLAT also directed them to approach the appropriate forum where the main proceedings were pending.

Examining the record, the Bench observed that the winding-up proceedings against Kingfisher Airlines originated before the Karnataka High Court in 2012 and continued to remain under its supervision, even after the constitution of the NCLT, in terms of the Companies (Transfer of Pending Proceedings) Rules, 2016.

The Tribunal held that although the present application was styled as an independent proceeding, it effectively sought enforcement of claims already adjudicated within the winding-up process. Since the High Court was actively supervising the liquidation and disbursement of proceeds, the applicants had approached an incorrect forum.

Notably, the Bench remarked that the applicants had “manifestly chosen a wrong forum, for the third time” for enforcement of their claims.

Accordingly, the Tribunal dismissed the application while granting liberty to the applicants to approach the Karnataka High Court or the appropriate forum overseeing the winding-up proceedings for redressal of their grievances.

Case Title: Capt. Praveen Sharma & Ors. v. Official Liquidator, Kingfisher Airlines (Under Liquidation) & Ors.
Case No.: C.P. No. 20/BB/2026