ibnlive » Business

Jul 06, 2007 at 01:16am IST

Jet chairman denies underworld-nexus charge

New Delhi: Jet Airways on Thursday told Bombay High Court that sources of funding for the acquisition of Air Sahara were `legitimate'.

It also said that the allegations that its chairman Naresh Goyal has underworld links were `false'.

Jet's affidavit was in response to a PIL filed by Delhi-based journalist Dr M Furquan in the court, alleging that Goyal had links with fugitive gangsters Dawood Ibrahim and Chhota Shakeel and the sources of funds used by the Jet to acquire Air Sahara were shady.

FIGHT ON: Jet's affidavit was in response to a PIL filed by journalist Dr M Furquan in the court.

The affidavit filed before the division bench of Chief Justice Swatanter Kumar and Justice Ranjana Desai said the allegations were false and being made just when the airliner has "embarked upon a massive expansion of operations, acquisition of 20 wide-bodied long-haul aircraft and is about to establish overseas hub in Brussels."

The affidavit said that even the US government eventually gave security clearance to Jet for the purpose of operating there after an inquiry into Goyal's antecedents.

Similarly, it mentions, all directors of Jet have been accorded security clearances by the Ministry of Civil Aviation.

Regarding the money for acquisition for Air Sahara, the affidavit says the company's internal funds, including those raised through its IPO in 2005, were used.

Earlier, the PIL filed by Dr Furquan had been rejected by the High Court, the affidavit reminds.