Delhi High Court Demands Compliance from SpiceJet Over Engine Payment Disputes

The Delhi High Court mandates SpiceJet's COO and CEO to appear in person over a payment dispute regarding aircraft engines. The airline has defaulted on payments of over USD 6.03 lakh to its engine lessors, leading the court to order the grounding of three aircraft engines.

The Delhi High Court has taken decisive action, compelling the chief operating officer and chief executive officer of SpiceJet to make an in-person court appearance. This directive comes amidst growing tensions over the airline's non-compliance with payments exceeding USD 6.03 lakh to its aircraft engine lessors.

Despite the counsel's request for a virtual hearing, Justice Manmeet PS Arora firmly denied the possibility, setting a court date for January 16, 2025. This move is in response to a plea by the engine lessors seeking enforcement of an earlier consent order mandating payment to the lessors for engine usage.

SpiceJet has been under scrutiny after defaulting on a court-mandated interim payment arrangement. The high court, supported by the Supreme Court, directed the airline to ground three engines. This decision followed the termination of lease agreements and continued payment defaults, emphasizing the high stakes in this aviation industry dispute.

(With inputs from agencies.)