SpiceJet (SG, Delhi International) has appealed a Delhi High Court decision that instructed the airline to deposit INR5.79 billion (USD89.4 million) into a court-registered escrow account over an ongoing legal dispute with former owner Kalanithi Maran and his company KAL Airways. Bloomberg reports that SpiceJet has lodged a motion with the Supreme Court against the High Court's ruling.
The dispute relates to the transfer of ownership of the airline to Ajay Singh – the current promoter – in 2015. Maran claims that as part of the deal, he and his airline were to receive redeemable stock warrants in SpiceJet in exchange for INR6.9 billion (USD106.5 million) which was paid towards operating costs and debt repayment. Maran also claims that the cash wasn't put towards statutory dues as intended, and he is now facing prosecution.
In its appeal, SpiceJet said that the High Court's order imposed "an extremely harsh financial obligation which amounts to infliction of 'civil death' on the company."
The appeal is expected to be heard at the end of July.
