Delhi High Court asks SpiceJet to deposit Rs 580 crore in share transfer dispute
Kalanithi Maran and his Kal Airways had moved the court against the budget airline for non-issuance of share warrants after transfer of ownership in 2015.
Indian budget carrier SpiceJet has been asked to pay Rs 580 crore in a share transfer dispute case. The Delhi High Court on Friday ordered the airline to deposit the money in five installments over the next five months.
The court was hearing a petition filed by Sun Group owner Kalanithi Maran and his airline Kal Airways, accusing SpiceJet of not issuing share warrants in favour of the latter after they transferred ownership to Ajay Singh in February 2015. The court directed both parties to consider arbitration proceedings to come to a consensus on the matter, reported Mint.
Maran's company had sold their 350.4 million shares, or 58.46%, in the airline to SpiceJet co-founder Singh, making him the controlling shareholder of the company. In his plea, Maran also asked for a refund of the Rs 690 crore his company had paid as operating cost and debt payment for SpiceJet when the ownership was transferred.