SpiceJet’s shares will be in the spotlight on Tuesday. The Delhi High Court told the airline’s CEO and COO that they must come to court in person. This is because they didn’t pay $603,870 to the companies that lease them their airplane engines. The judge, Manmeet PS Arora, refused to let them attend the hearing online and insisted they show up on January 16, 2025.
The court was looking at a request from Team France 01 SAS, the company that leases the engines, asking for the airline to follow a payment plan agreed upon on May 29. This plan required SpiceJet to pay the $603,870.82 they owed.
In the last hearing, SpiceJet’s lawyer asked to postpone the case because their senior lawyer was unavailable. The judge will hear the case again on January 16, 2025.
In the ruling from May 29, the court ordered SpiceJet to pay $4.8 million in missed payments plus more money every week because they were using the engines. Since SpiceJet didn’t make the payments, the court ordered them to stop using three engines and send them back to the owners.
SpiceJet had previously challenged this court decision, but a higher court agreed that they must follow the rules. The single judge decided to ground the engines after the lessors asked for them back since the lease agreements ended. The lessors told the airline to return the engines and pay what they owed, but SpiceJet did not comply.
(Disclaimer: Any opinions or views in this article are those of the experts and do not reflect the position of thellv.news)
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