Mitali Palnitkar
Published On: February 11, 2022 at 14:17 IST
On 10th February 2022, the Supreme Court asked the former promoter of SpiceJet, Kalanthi Maran to consider the settlement offer proposed by SpiceJet to end the Share-Transfer Dispute.
The Bench was led by Chief Justice of India NV Ramana. It also comprised of Justices AS Bopanna and Hima Kohli.
During the Supreme Court Hearing, SpiceJet offered to pay Rs 600 crore in cash to Maran and his firm KAL Airways for the full and final settlement of all disputes.
Maran and KAL Airways urged the Supreme Court to lift the Stay put on Delhi High Court Order in November 2020, asking SpiceJet to deposit Rs 243 crore as interest on the amount of Rs 579 crore in the dispute. He sought the Stay to be lifted to secure the refund amount and the interest from SpiceJet.
Senior Advocate Mukul Rohatgi, who appeared for SpiceJet informed the Court that the refund amount was Rs 579 crore, of which Rs 308 crore were paid in cash and Rs 270 crore were secured under bank guarantee, which the airline was willing to convert to cash and pay an additional Rs 22 crore to Maran and his firm.
He further stated, “Rs 600 crore can go to him (Maran) and the Case can be settled provided that he does not file any more Execution Petitions.” He informed that Maran had already filed three Execution Petitions against the airline.
He stated that if the proposal was not agreeable then a reduced amount secured under bank guarantee could be disbursed to Maran while the hearing of pending Litigations could be Fast-Tracked.
Advocate Rohatgi further argued that Maran’s demand of 18% interest was unjustified. SpiceJet was willing to pay the amount and close the Case if Maran was ready to give up on interest.
Senior Advocate Maninder Singh, who appeared for Maran submitted that the refund amount of Rs 579 crore was arrived at in 2018 and the High Court had directed SpiceJet to deposit the interest amount of Rs 243 crore which was an admitted figure.
He argued that if the company is wound up before Maran is paid the amount then the Order in favour of Maran would be rendered as a Paper Decree.
The Court observed that SpiceJet’s “antecedents are not very good” but Advocate Rohatgi stated that the dispute with Credit Suisse which led to winding up Order might be settled soon.
The Court asked Advocate Singh to relay the airline’s offer to Maran and consider it. The Court will hear the Case again in the next week.
