51 crore. S, while narasimha and Alok Aradhe upheld the Delhi High Court's January 19 order, emphasizing the necessity of complying with judicial mandates. Also, the apex court imposed a fine of ₹1 lakh on Ajay Singh for what it termed as "unnecessary litigation," marking a significant development in the long-standing legal battle.
Supreme Court Ruling and Imposition of Fine
During the proceedings, the Supreme Court expressed its dissatisfaction with the repeated challenges to established payment schedules, while according to court officials, the bench observed that the airline had failed to fully adhere to the 2023 payment and compliance directions issued by the apex court itself. The ₹1 lakh fine imposed on Ajay Singh is intended as a penalty for prolonging the legal process. The court's decision reinforces the Delhi High Court's stance that the airline must fulfill its financial obligations as per the arbitration award and subsequent judicial orders.
Financial Obligations and Outstanding Dues
The dispute centers on the remaining payment owed to Kalanidhi Maran and KAL Airways Private Limited. 51 crore. 51 crore. The High Court had directed the airline to deposit this remaining sum to ensure compliance with the arbitration award, while with the Supreme Court dismissing the challenge, the airline is now legally bound to deposit the specified amount without further delay.
History of the Legal Dispute
The origins of this conflict date back to a 2015 share transfer agreement. 46% stake in SpiceJet to Ajay Singh, who then took over the management of the struggling carrier. The dispute arose over the issuance of warrants and cumulative redeemable preference shares (CRPS) as part of the deal. Maran and his firm alleged that the airline failed to issue the shares or refund the money, leading to arbitration proceedings that eventually resulted in an award in favor of Maran.
SpiceJet Official Response
Following the Supreme Court's verdict, SpiceJet issued a formal statement acknowledging the judicial decision. According to the airline's spokesperson, the company has taken note of the order and intends to comply with all court directions. The airline further clarified that this legal development would have no impact on its day-to-day flight operations or business activities. SpiceJet maintained that it remains committed to resolving its legacy legal issues while ensuring service continuity for its passengers.
Current Status of Payments
According to figures provided by the airline, SpiceJet has so far paid a total of ₹730 crore to Kalanidhi Maran and KAL Airways. This total includes ₹580 crore towards the principal amount and ₹150 crore as interest. The airline stated that the remaining dues would be handled in accordance with the court's latest instructions. The case has seen multiple rounds of litigation across the Delhi High Court and the Supreme Court over the last several years, focusing on the execution of the 2018 arbitration award which initially ordered the airline to pay ₹579 crore plus interest.