New Delhi: The Supreme Court (SC) on Friday set aside the applications filed by Spicejet seeking an extension to pay Rs 75 crore to Kal Airways and Kalanithi Maran, reported by PTI.
While refusing to extend the time, the Delhi High Court had on June 1 directed SpiceJet to deposit “forthwith” Rs 75 crore that has to be paid to Maran and his Kal Airways towards interest on the arbitral award, according to the report.
Earlier, the top court had ordered that the bank guarantee of Rs 270 crore furnished by SpiceJet to Maran and his firm must be encashed immediately if the airlines failed to pay Rs 75 crore towards interest on the arbitral award by May 13.
A bench of Chief Justice D Y Chandrachud and Justice P S Narasimha on Friday did not accept the vehement submissions of senior advocate Mukul Rohatgi, appearing for SpiceJet, and refused to the extend the time, saying the entire award has now become executable.
“The battery of lawyers is involved in all this and you know, the idea is just to delay complying with the orders of the court. I personally will not approve this… The writ of the court has to be complied with and now, they (the Delhi High Court) will execute the award,” the CJI said.
Senior advocate Maninder Singh, appearing for Maran and his Kal Airways, said that nothing has been paid after the SC asked them to pay Rs 75 crore as interest and no indulgence be granted to them in the form of extension of time. Singh, appearing through Karanjawala and Company, said SpiceJet has earlier also failed to comply with the order of the high court directing it to file an affidavit disclosing assets.
“Rs 75 crore is not a small amount,” the lawyer of SpiceJet said. “But then these are not small parties either… These are all luxurious litigations. No further extension of time can be granted and the award becomes executable,” it said.
SpiceJet statement
The present order of the Supreme Court is the reiteration of its earlier order passed in February 2023. The main petition challenging the award by both the parties are pending disposal by the Hon’ble Delhi High Court. The matter relates to payment of interest on a principal amount of Rs 579 crore that has already been paid. SpiceJet is engaged in talks with Mr. Kalanithi Maran and his firm KAL Airways and remains committed to finding an amicable settlement. We remain confident of resolving this to the satisfaction of both sides through discussions.
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