The Supreme Court on Friday dismissed a plea filed by SpiceJet Limited and its chairman Ajay Singh against a Delhi High Court order requiring them to deposit ₹144.5 crore in an ongoing arbitration dispute with Kalanithi Maran and KAL Airways Pvt Ltd. The Court also imposed costs of ₹1 lakh on Singh for continuing the litigation.
A bench comprising Justices PS Narasimha and Alok Aradhe affirmed the High Court’s January 19 directive, bringing relief to Maran and KAL Airways in the long-running dispute arising from a share transfer agreement.
The Delhi High Court had earlier held that certain payment and compliance directions issued by the Supreme Court in 2023 had not been fully honoured. It recorded that SpiceJet had acknowledged a liability of ₹194.51 crore under those directions.
Since ₹50 crore had already been deposited, the High Court directed the airline and Singh to deposit the remaining ₹144.51 crore.
The Supreme Court declined to interfere with this finding and upheld the High Court’s order in full.
While rejecting the challenge, the top court imposed costs of ₹1 lakh on Ajay Singh, noting that the litigation had been pursued repeatedly.
Following the ruling, SpiceJet stated that it had taken note of the order and would comply with all court directions. The airline said the development would not affect its day-to-day operations.
In a statement, the company said the dispute relates to the 2015 share transfer agreement under which Kalanithi Maran and KAL Airways transferred their 58.46 per cent stake in SpiceJet to Ajay Singh.
SpiceJet added that it has already paid ₹730 crore to Maran and KAL Airways, including the full principal amount of ₹580 crore and ₹150 crore towards interest. The remaining amount, as directed by the court, will be deposited in accordance with the arbitration process.
The case stems from the share sale and purchase agreement executed in 2015, which has led to multiple rounds of litigation and arbitration between the parties over payment obligations.
With the Supreme Court refusing to grant relief, SpiceJet and its chairman are now required to deposit the outstanding amount as directed by the High Court.
