SpiceJet denied extension to deposit ₹144 crore in arbitration dispute

The Delhi High Court has rejected a plea from SpiceJet seeking an extension of time to deposit approximately ₹144 crore in an ongoing arbitration dispute with Kalanithi Maran and KAL Airways. Justice Vinod Kumar noted that the airline failed to comply with its own undertaking to deposit an initial ₹50 crore within a 45-day period.

In addition to denying the time extension, the court refused to accept a property in Gurugram belonging to managing director Ajay Singh as security for the remaining ₹94 crore. The court indicated that had the initial ₹50 crore deposit been made, it might have been more lenient regarding the second installment.

The legal conflict stems from a 2015 dispute involving the sale of a majority stake in the airline. SpiceJet continues to face significant financial challenges, including a cash crunch and a declining domestic market share.