Delhi High Court Orders SpiceJet To Pay Rs 380 Crore To Former Promoter Kalanithi Maran

The Delhi High Court has directed SpiceJet, one of India's leading airlines, to pay a sum of Rs 380 crore to Kalanithi Maran, the former promoter of the airline.

The court's decision comes after a long legal battle between Maran and SpiceJet over a dispute related to share transfer and non-payment of dues. The ruling by the Supreme Court is a major setback for the airline, as it comes amid a payment dispute with aircraft lessors.

The court has also asked SpiceJet, a low-cost airline, to file an affidavit listing its assets within four weeks. The problem is a long-running disagreement over contractual obligations between the Maran family and the current proprietor, Ajay Singh, and SpiceJet.

Maran filed a lawsuit in 2017 against SpiceJet for allegedly causing him and KAL Airway losses by neglecting to grant convertible warrants and preference shares.

Maran's claim for Rs 1,323 crore in damages for the inability to issue warrants to him and Kal Airways was rejected by the arbitral panel on July 20, 2018, and he was instead awarded a return of Rs 579 crore with interest. Maran, the owner of Sun TV Network, then petitioned the Supreme Court to overturn the arbitration ruling.

The dispute was over the non-issuance of warrants in Maran's favour following the transfer of ownership to Singh, SpiceJet's controlling partner. Due to the airline's financial crisis, Singh reclaimed control of SpiceJet in February 2015.

Maran and Kal Airways surrendered their entire investment of 35.04 crore equity shares, accounting for 58.46% ownership in the airline, to Singh, the co-founder, for just Rs 2.