SpiceJet has been warned of attachment of assets by the Delhi High Court, if the airline fails to pay Rs 100 crore to Kalanithi Maran of KAL Airways by September 10. This was during the hearing of a plea by Maran, which sought 50 percent of the daily revenue of the airline in light of unpaid dues. Ajay Singh appeared in person for the hearing.
According to a report by CNBC TV18, a SpiceJet spokesperson has said the company would honor the Delhi High Court’s order and make the specified payment within the prescribed time frame. “We are hopeful for an expeditious resolution of the appeal. We are committed to presenting our matter diligently and respectfully, seeking a just and fair resolution. Delhi HC has directed the company to pay Rs 100 crore by September 10, 2023,” the spokesperson said.
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The next hearing is scheduled on September 11.
The dispute between SpiceJet and Kalanithi Maran dates back to January 2015 when KAL Airways offered a 58.46 percent stake in SpiceJet to Ajay Singh, the principal shareholder, chairman, and managing director of the airline, at a meagre price of Rs 2 per share due to the airline’s financial troubles.
Meanwhile, in a separate case, the Delhi High Court rejected the airline’s plea seeking to stay an order of a single-judge bench that had denied waiver of interest on the arbitral award owed to Kalanithi Maran of KAL Airways.
SpiceJet CEO Ajay Singh had challenged the single-judge bench order, asking for a waiver of the interest burden imposed on the airline by the arbitral tribunal, which was later upheld by the single-judge bench. The tribunal had ruled in favour of Maran, granting him an award of Rs 579 crore, plus accrued interest.
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