The Delhi high court directed cash-strapped airline SpiceJet to file an affidavit disclosing its assets inside two weeks in a dispute with engine lessor Sunbird France 02 SAS, which seeks to get well about $8 million in unpaid lease leases and upkeep dues.
Justice Vikas Mahajan handed the course on Tuesday after Sunbird sought disclosure of SpiceJet’s assets so it may search protecting orders in case the airline failed to clear its dues. The matter will now be heard after the court trip.
The lessor sought pressing safety measures like disclosure of assets in view of the airline’s monetary situation. The Sunbird lawyer argued that SpiceJet is beneath monetary stress and pointed to 16 insolvency pleas pending towards the airline earlier than the Nationwide Company Legislation Tribunal (NCLT), contending that the service may enter insolvency proceedings at any time.
The lessor’s authorized crew had earlier argued that regardless of pending dues to collectors, SpiceJet had paid advance compensation to chairman Ajay Singh.
“The chairperson, Mr. Singh, is paid $3.4 million in advance by the use of wage for 5 years in September 2025, when monies are owed to the world at giant,” the counsel submitted earlier than the court.
Opposing coercive instructions
SpiceJet had opposed quick coercive instructions, arguing that the airline was a working concern and never a “fly-by-night operator.” Senior counsel Amit Sibal, representing the airline, stated such instructions may disrupt operations, including that SpiceJet operates about 135 flights day by day, carries nearly 21,000 passengers and employs 6,400 individuals.
The dispute arises from a judgment delivered by the Industrial Court in London on 13 March over three plane engines leased to SpiceJet in 2019. In accordance to the UK judgment, Sunbird alleged that the airline stopped making lease funds from January 2022, apart from one fee of $7,088.19 in Might 2024, and defaulted on upkeep accrual funds from November 2020.
Following the alleged defaults, Sunbird repossessed two engines in December 2022 and the third in July 2023 earlier than approaching the London court looking for restoration of $7.96 million. The UK court granted abstract judgment in favour of Sunbird after recording that SpiceJet had not contested the proceedings regardless of being served.
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