Jet Airways clarifies on fraud allegations against Naresh Goyal

BSE had demanded a clarification on a news report about frauds committed by Naresh Goyal on Tuesday. The airline filed a statement denying the claims and said that the report is an unsubstantiated allegation. The company insisted that it has always complied with SEBI's regulation on disclosures.

The new article alleges that the Naresh Goyal, founder and promoter of Jet Airways, siphoned-off over Rs. 5,000 crore from the company through several transactions between Jet Airways and Jet Lite to his private companies incorporated in India and aboard. In the past, there have been several news reports alleging links between the self-made millionaire and underworld don Dawood Ibrahim.

Also on Monday, credit rating agency ICRA downgraded Jet Airways Long Term rating to ICRA BB+ from BBB-, on back of weak financial performance in Q4FY18.

The stock on Wednesday seems to have bouyed by the clarification given by the company at 10:30, Jet Airways was trading at Rs. 424.75 per share, 0.99 per cent.