SpiceJet: Maran family not happy with the numbers?
After the controversial Two Rupees deal of 2015, the Maran family-controlled Kal on Monday told the Supreme Court that they were not agreeable to two proposals to settle their dispute with SpiceJet on payment of interest in connection with a share transfer issue as the low-cost airline owed them around Rs.920 crore in pursuance of an arbitral award. A bench comprising Chief Justice N V Ramana and Justices A S Bopanna and Hima Kohli, at the outset, inquired about the view of Kal Airways Pvt Ltd and media baron Kalanithi Maran whether they were agreeable to the two proposals of SpiceJet to settle the dispute.
Ajay Singh headed SpiceJet is already facing an insolvency case and recently the apex court has told the company to come up with concrete plans.[1]
SpiceJet, in its first offer, proposed that it would pay Rs.300 crores towards a full and final settlement of the dispute or secondly, out of the Bank Guarantee of Rs.270 crores deposited with the Delhi High Court, the low-cost airlines will give Rs.100 crores for now and an order will be passed by the apex court urging the high court to expeditiously decide the case related to the arbitral award.
“They (Kal Airways and Maran) have considered the offer made by my friend (Senior advocate Mukul Rohatgi on behalf of SpiceJet). But they have not found them acceptable,” senior counsel Maninder Singh, who was assisted by, Karanjawala and Co, told the bench. After being told about the views on the proposals, the bench listed the case for hearing the arguments on March 2 which was accepted by SpiceJet, represented by Rohatgi. Earlier on February 10, the bench had asked Singh to take instructions
from Kal Airways and Maran on the proposals made by SpiceJet and had listed the matter on Monday.
Rohatgi had also said that SpiceJet, in pursuance of an arbitral award in favour of Kal Airways, has paid Rs.308 crore and submitted a bank guarantee of Rs.275 crore with the Delhi High Court. In 2015, in a controversial move, the Maran family sold SpiceJet for just Rs. Two, Later Marans filed a case against Ajay Singh for not fulfilling the agreement. SpiceJet is considered a Politically Exposed company. In 2001, the company was started by Ajay Singh, who was a very close aide of BJP leader late Pramod Mahajan. When UPA Government came to power in 2004, the SpiceJet was handed over to the Maran family and in 2015, when BJP came back to power Spicejet in a dubious deal violating Stock Exchange norms came back to Ajay Singh.
Reference:
[1] SC grants 3 weeks to SpiceJet to resolve financial issues with Swiss firm. Do you want to run or close the shop? SC asks SpiceJet – Jan 28, 2022, PGurus.com
PGurus is now on Telegram. Click here to join our channel and stay updated with all the latest news and views
For all the latest updates, download PGurus App.
- Supreme Court rejects plea to tally all VVPAT slips with EVM votes; says ‘no going back to paper ballot’ - April 26, 2024
- US report citing human rights violations is deeply biased: India - April 25, 2024
- Kotak Mahindra Bank shares tank 13%. Market Cap erodes by Rs.37,721 cr post-RBI action - April 25, 2024
