SpiceJet Ordered to Pay $6M in Leasing Dispute by February
The Delhi High Court has directed SpiceJet to pay over $6 million to two leasing SPVs, Team France 01 SAS and Sunbird France, by early February 2025. The order requires $2.67 million to be paid within seven days of the January 16 ruling and $3.34 million within three weeks.
Justice Anish Dayal criticized SpiceJet’s handling of the dispute, referring to it as “corporate anarchy.” The case, which previously involved a $20 million debt, has seen the owed amount reduced to $6 million. The High Court expressed frustration at SpiceJet’s repeated non-compliance with court orders.
Chairman Ajay Singh and CFO Joyakesh Podder appeared in court following a December summons. Singh assured the court that the airline would meet the payment deadlines.
The dispute began in December 2023, when the SPVs accused SpiceJet of defaulting on lease payments for two years. A settlement in May 2024 allowed the airline to continue using the engines in exchange for $4.8 million in installments and weekly payments. However, SpiceJet defaulted, prompting the court to order the engines’ return.
SpiceJet eventually complied with the return order but failed to honor the repayment plan, leading to further legal action. The court’s latest decision underscores its commitment to holding the airline accountable for its financial obligations.
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Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com