The Narendra Modi government on Thursday ordered an investigation by the Serious Fraud Investigation Office (SFIO) into Jet Airways and its subsidiaries after finding instances of fund diversions and large-scale irregularities.

The SFIO is the investigative arm of the ministry of corporate affairs (MCA).

Besides, airline founder Naresh Goyal has filed a writ petition in the Delhi High Court, seeking to overturn an order that stops him from travelling abroad.

Also, Goyal is likely to be summoned by SFIO next week as the ministry's inspection report had found large-scale irregularities, including diversion of funds.

Faced with the acute financial crunch, the once-storied Jet Airways stopped operations in mid-April. With efforts to find investors failing to take off, the airline is now under insolvency proceedings.

The cash-strapped company became the first domestic airliner to go into bankruptcy after the Mumbai bench of the National Company Law Tribunal (NCLT) admitted an insolvency petition filed by SBI on behalf of 26 lenders on June 20.

First Published:Jul 4, 2019 11:20 PM IST