Delhi HC Cracks Down on SpiceJet, Orders ₹144 Crore Deposit in Maran Dispute

The Delhi High Court on Monday dismissed review petitions filed by SpiceJet and its promoter Ajay Singh , directing strict compliance with its earlier order to deposit ₹144 crore in an ongoing legal dispute with media baron Kalanithi Maran and Kal Airways. The court also imposed a cost of ₹50,000, signalling judicial intolerance toward delay tactics .

Justice Subramonium Prasad upheld the January 19 directive requiring the deposit against an admitted liability of ₹194 crore . The deadline, earlier extended on March 18, had been challenged by SpiceJet citing financial distress linked to geopolitical tensions in West Asia. The airline proposed substituting the cash deposit with a Gurugram property and referred to possible government support.

Rejecting these arguments, the court emphasised that financial stress cannot override legal compliance , reinforcing the sanctity of contracts and the need for timely enforcement of arbitral obligations .

Maran and Kal Airways opposed the plea, noting that similar grounds had already been rejected earlier. The dispute dates back to 2015, when Maran transferred a 58.46% controlling stake in SpiceJet to Singh for a nominal ₹2 during a financial crisis, followed by disagreements over the non-issuance of warrants .

In May 2024, a division bench had set aside an earlier order enforcing a ₹579 crore arbitral award and remanded the matter for fresh consideration. Despite ongoing proceedings, Monday’s ruling underscores concerns around corporate governance , promoter–investor disputes , and the need to curb prolonged litigation strategies .

The case also reflects broader stress in the aviation sector , where financial instability continues to intersect with high-stakes legal battles.