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Big Setback for SpiceJet! Delhi High Court rejects review plea in Rs 144 crore dispute - Full details
SpiceJet has suffered a legal setback after the Delhi High Court dismissed its review petition in the Rs 144.5 crore dispute with Kalanithi Maran and KAL Airways. The order adds to the ongoing legal and financial pressure on the airline.
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SpiceJet has suffered a legal setback after the Delhi High Court dismissed its review petition. Image Credit: SpiceJet
Written By: Anubhav Maurya
Updated: Mon, May 04, 2026
01:15 PM IST
01:15 PM IST
ZeeBiz WebDesk
SpiceJet has suffered a legal setback after the Delhi High Court dismissed its review petition in the Rs 144.5 crore dispute with Kalanithi Maran and KAL Airways. The order adds to the ongoing legal and financial pressure on the airline.
The court refused to modify its earlier direction requiring SpiceJet Limited to deposit Rs 144.5 crore in the long-running arbitration matter. Justice Subramonium Prasad also imposed a cost of Rs 50,000 on the airline while dismissing the petition.
Proposal by SpiceJet rejected
The airline had argued that instead of depositing cash, the court could consider the attachment of promoter Ajay Singh’s personal property. The court, however, rejected the proposal and upheld its earlier order.
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Background of the dispute
The dispute relates to a 2015 share transfer agreement, when Kalanithi Maran and KAL Airways transferred their entire stake in SpiceJet to Ajay Singh during a period of financial stress at the airline. The transaction later led to a long legal battle over payments and liabilities.
Arbitration award and court proceedings
In 2018, an arbitral tribunal had ordered SpiceJet and Ajay Singh to pay Rs 308.21 crore plus interest to Maran and KAL Airways. The matter has since been under continuous litigation across various courts.
Earlier in February 2026, the Supreme Court of India had also dismissed SpiceJet’s challenge to the Rs 144.5 crore deposit order. This strengthened the requirement for the airline to deposit the amount.
SpiceJet’s stand and claims
The airline had earlier submitted that it had already paid a total of Rs 730 crore to Kalanithi Maran and KAL Airways. This included the entire principal amount of Rs 580 crore and Rs 150 crore towards interest.
SpiceJet has also stated that the remaining amount directed by the court will be deposited as part of the ongoing arbitration process. The company described the amount as a deposit held by the court pending the outcome of the case. In its submissions, SpiceJet has expressed confidence that it may receive a refund of Rs 449 crore after completion of legal proceedings.
Ongoing legal status and dispute origin
The airline has also maintained that claims of over Rs 1,300 crore in damages made by KAL Airways and Kalanithi Maran have already been rejected by courts. According to SpiceJet, these rulings have attained finality. It has further stated that all challenges to the arbitral award filed by KAL Airways and Kalanithi Maran have been dismissed.
SpiceJet has also said that its own claims for refund against KAL Airways and Kalanithi Maran are currently being heard by the Delhi High Court. The airline has claimed that there is a prima facie observation in its favour in this matter.
The dispute originates from the 2015 transaction when Ajay Singh regained control of SpiceJet during a financial crisis. The deal involved the transfer of shares between the parties, which later became the subject of arbitration and court proceedings.
Court position on financial stress arguments
SpiceJet has also informed the court that it had considered financial stress conditions, including external economic factors, while seeking relief from deposit directions. However, courts have consistently upheld the requirement to deposit the amount during the pendency of proceedings.
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Anubhav Maurya
Anubhav Maurya
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