Delhi High Court has ordered SpiceJet (SG, Delhi International) to pay two leasing special purpose vehicles (SPVs) more than USD6 million by early February 2025. This includes USD2.67 million payable within seven days from the date of the order, January 16, and USD3.34 million within three weeks.
Justice Anish Dayal was scathing of SpiceJet's conduct in the long-running matter of Team France 01 SAS and Anr v. Spicejet Limited, which, at one point, had the carrier owing engine leasing SPVs Team France and Sunbird France around USD20 million. This has now reduced to approximately USD6 million. Dayal described SpiceJet's behaviour in the matter as "corporate anarchy."
"We absolutely despise the manner in which the court is being taken for a ride," he said during last week's hearing.
The budget carrier's chairman and managing director, Ajay Singh, along with chief financial officer Joyakesh Podder, were in court on the day in response to a December summons for them to appear in person. Singh told the court that SpiceJet would pay the money.
As previously reported in ch-aviation, the SPVs began fresh legal action in December 2023, claiming SpiceJet owed them over USD20 million after failing to make lease payments for two years. They also sought an order to prevent SpiceJet from using the engines. In May 2024, a settlement of sorts was reached. The court ordered the airline to pay USD4.8 million over four instalments plus weekly payments over the 2024 northern summer season in exchange for using the engines. However, SpiceJet defaulted, and Delhi High Court later ordered the carrier to stop using the engines and return them to the lessors. The airline eventually returned the engines but ignored the repayment plan, despite the court orders.
