SpiceJet Denies KAL Airways' RS 1,323 CR Claim, Labels It 'legally Baseless'

SpiceJet on Tuesday refuted the claims made by KAL Airways and Kalanithi Maran regarding seeking damages of Rs 1,323 crore and said that these assertions were not only legally untenable but also regurgitation of previously rejected claims by the Arbitral Tribunal and then the Delhi High Court.

“KAL Airways and Kalanithi Maran initially sought damages of more than Rs.1300 crore during the arbitration proceedings. This claim was thoroughly examined and subsequently rejected by a panel of three retired Supreme Court judges,” said the airline in a statement.

It further said that following this, KAL Airways and Kalanithi Maran appealed to the single-judge Bench of the Delhi High Court, seeking the same amount in damages, which was again rejected by the court.

“Notably, they chose not to pursue any appeal before the appellate jurisdiction and consequently, the matter attained finality. This matter is devoid of any merit and appears to be an endeavour to sensationalise the issue and mislead the public,” said the airline spokesperson.

The Division Bench of the Delhi High Court on May 17, ruled in favour of SpiceJet and Ajay Singh. "Following the success before the Division Bench of the Delhi High Court, SpiceJet will now pursue a refund of Rs. 450 crores as outlined in our previous statement," said the spokesperson.

On Monday, KAL Airways and Maran had said that they intend to pursue over Rs 1,323 crore in damages from SpiceJet and its chief, Ajay Singh, in addition to challenging the recent Delhi High Court decision in their ongoing dispute.

After consulting with their legal team, Maran and KAL Airways have decided to contest the ruling. The decree holders, KAL Airways and Maran believe the judgement is fundamentally flawed and requires further examination.