Supreme Court Upholds Order Against SpiceJet in Arbitration Dispute

The Supreme Court dismissed SpiceJet's plea challenging a Delhi High Court order to deposit Rs 144.5 crore in an arbitration dispute with Kalanithi Maran and KAL Airways. The decision pertains to a share transfer agreement dispute from 2015. SpiceJet affirmed this development does not affect operations.

The Supreme Court on Friday dismissed SpiceJet's petition challenging a Delhi High Court directive to deposit Rs 144.5 crore in an ongoing arbitration dispute with Kalanithi Maran and KAL Airways Pvt Ltd.

A bench comprising Justices PS Narasimha and Alok Aradhe not only upheld the high court's January 19 order but also imposed fines of Rs 1 lakh on chairman Ajay Singh for repeatedly pursuing litigation. Reacting to this, SpiceJet assured stakeholders that the ruling will not affect its daily operations.

The conflict originates from a 2015 share transfer agreement where Maran and KAL Airways sold their 58.46% stake in SpiceJet to Ajay Singh. The high court noted that Rs 194.51 crore was recognized as payable under a Supreme Court directive, with Rs 50 crore already deposited, leaving a Rs 144.51 crore balance outstanding.

(With inputs from agencies.)