Latest news with #KalanithiMaran
The Hindu
a day ago
- Business
- The Hindu
SC dismisses KAL, Maran pleas against Delhi HC order in SpiceJet case
The Supreme Court on Wednesday dismissed special leave petitions filed by KAL Airways and Kalanithi Maran seeking damages of over ₹1,300 crore from SpiceJet in a long-standing share transfer dispute. A Bench of Justices PS Narasimha and AS Chandurkar upheld the Delhi High Court's order of May 23. The High Court refused to condone their delay in filing appeals under Section 37 of the Arbitration and Conciliation Act, 1996 after concluding that they had been 'fence-sitting and were also guilty of deliberate and wilful concealment of facts from the court.' 'We find that on the basis of the material on record, the inference drawn by the Division Bench while refusing to condone the delay cannot be brushed away or that the conclusions drawn were without any basis. Hence, we are not inclined to interfere in exercise of jurisdiction under Article 136 of the Constitution. The special leave petitions are accordingly dismissed,' the order said. Mr. Maran and KAL Airways were former promoters of SpiceJet. The High Court had, in its May 23 order, criticised the former promoter of taking a 'calculated gamble' by delaying the filing and re-filing of their appeals. On May 17 last year, the Delhi High Court had quashed a Single Judge order of July 31, 2023 upholding an arbitral award asking SpiceJet and its promoter Ajay Singh to refund ₹579 crore plus interest to Mr. Maran. The dispute between SpiceJet and Mr. Maran dates back to January 2015 when KAL Airways offered a 58.46% stake in SpiceJet to Mr. Singh, the principal shareholder, chairman, and managing director of the airline, at a meagre price of ₹2 per share due to the airline's financial troubles.
News18
a day ago
- Business
- News18
SpiceJet shares jump nearly 6 pc
Agency: PTI Last Updated: New Delhi, Jul 23 (PTI) Shares of SpiceJet surged nearly 6 per cent on Wednesday after the Supreme Court dismissed a plea of KAL Airways and Kalanithi Maran seeking damages of over Rs 1,300 crore from the airline in a long-standing share transfer dispute. The stock jumped 5.75 per cent to end at Rs 40.29 apiece on the BSE. During the day, it surged 7.19 per cent to Rs 40.84. On the BSE, 682.78 lakh shares of the firm were traded during the day. The Supreme Court on Wednesday dismissed a plea of KAL Airways and Kalanithi Maran seeking damages of over Rs 1,300 crore from SpiceJet in a long-standing share transfer dispute. A bench of Justices P S Narasimha and A S Chandurkar upheld the Delhi High Court's order of May 23 dismissing their plea on grounds of delay. KAL Airways and Kalanithi Maran had initially sought damages of over Rs 1,300 crore during the arbitration proceedings. Maran and KAL Airways were former promoters of SpiceJet. PTI SUM SUM SHW Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
Mint
a day ago
- Business
- Mint
SpiceJet shares surge 6% as Supreme Court rejects Maran, KAL Airways' plea seeking ₹1,323 crore damages
Shares of low-cost carrier SpiceJet soared 6 percent in intra-day trading on Wednesday, July 23, after the Supreme Court dismissed the special leave petitions filed by Kalanithi Maran and KAL Airways in a long-running legal dispute. The apex court upheld the Delhi High Court's decision to reject their ₹ 1,323 crore damages claim against the airline, providing much-needed legal relief to the financially stressed carrier. A Supreme Court bench comprising Justices Pamidighantam Sri Narasimha and Atul S Chandurkar dismissed the special leave petitions filed by KAL Airways and its promoter Kalanithi Maran, effectively closing the door on their efforts to seek damages from SpiceJet over a failed share transfer deal. "Both the special leave petitions are dismissed," the court stated, marking a definitive end to the appeal process. Earlier, the Delhi High Court had declined to condone a 55-day delay in filing and a 226-day delay in re-filing the appeal, citing what it called a 'calculated gamble' by the appellants and accusing them of deliberately concealing facts from the court and SpiceJet. The concept of condonation of delay is governed by the Limitation Act, which typically allows 90 days to file an appeal; any delay beyond that requires a credible explanation—something the courts said was lacking in this case. The dispute originated in 2015 when Maran and KAL Airways transferred their 58.46 percent controlling stake in SpiceJet to its original founder Ajay Singh. The transfer came at a time when the airline was facing a severe financial crisis, prompting Singh to take over operations and liabilities. Maran and KAL later claimed they had paid for convertible warrants and preference shares worth over ₹ 1,300 crore, which they alleged were never issued. The case went into arbitration, where an initial ruling favoured KAL Airways. However, the Delhi High Court subsequently set aside the arbitral award, a decision that was upheld by the Supreme Court in 2024. Following this, KAL Airways and Maran attempted to revive their damages claim through the High Court and later the apex court—both of which rejected their appeals. According to legal news platform Bar and Bench, the Supreme Court found the appellants' conduct to be lacking in good faith and part of a deliberate litigation strategy, rather than a result of negligence or delay. SpiceJet had earlier welcomed the Delhi High Court's decision, stating that a panel of three retired Supreme Court judges had already examined and rejected the damages claim. The airline reiterated that Maran's repeated attempts to revive the case amounted to judicial overreach. The ruling comes at a time when SpiceJet is grappling with financial stress and a shrinking market share amid multiple operational challenges. As of March 2025, the airline reported a net worth of ₹ 683 crore, supported by a ₹ 500 crore equity infusion from its promoter group, which included ₹ 294 crore added in the March quarter. The airline has also entered strategic partnerships with StandardAero and Carlyle Aviation to accelerate engine overhauls and fleet expansion. As part of its summer schedule, SpiceJet launched 24 new domestic flights and added new destinations such as Dehradun, Porbandar, and Tuticorin. By the end of 2025, the airline aims to operate a fleet of 52 aircraft, most of which will be leased on wet or dry terms. Following the Supreme Court verdict, SpiceJet shares rose as much as 6 percent to an intra-day high of ₹ 40.42. However, the stock remains over 49 percent below its 52-week high of ₹ 79.90, touched in September 2024. It recently hit a 52-week low of ₹ 37.87 earlier this month. Over the past year, the stock has declined by 30 percent. The share price has remained under pressure in 2025, falling 12 percent in June and 6.4 percent in May. While April saw a brief recovery with an 8.4 percent gain, the preceding months were also negative—down 11.8 percent in January, 6 percent in February, and 3.4 percent in March. July so far has seen a marginal decline of 0.3 percent.
Indian Express
a day ago
- Business
- Indian Express
SC dismisses KAL Airways, Kalanithi Maran pleas against Delhi High Court order in SpiceJet case
The Supreme Court on Wednesday dismissed appeals by KAL Airways and media baron Kalanithi Maran, challenging the Delhi High Court order which rejected their plea seeking Rs 1,323 crore in damages from SpiceJet and its chief Ajay Singh. A bench of Justices P S Narasimha and A S Chandurkar dismissed the appeals challenging a May 23 high court order, which dismissed their pleas on grounds of delay. The dispute among the parties arose after Singh, who owned SpiceJet earlier, bought it back from Maran after it was grounded for months due to a resource crunch. Differences arose subsequently with Maran and his firm accusing SpiceJet and Singh of breaching the agreement for issue of share warrants and preference shares to them. The matter went to arbitration, which rejected KAL Airways' claim for Rs 1,323 crore but ordered a refund of Rs 579.08 crore, with interest. The two sides challenged this before the high court, where a single judge on July 31, 2023, directed SpiceJet and Singh to refund Rs 270 crore plus interest to KAL Airways and Maran. On appeal, the division bench set aside this order and remanded it back to the single judge for reconsidering the petition under Section 34 of the Arbitration and Conciliation Act, 1996. Though KAL Airways and Maran moved the Supreme Court against this, the top court had dismissed it on July 26, 2024. They once again challenged the single judge order before a division bench, which by order dated May 23, 2025, dismissed it on grounds of delay. This led to the present appeals before the Supreme Court, which were dismissed on Wednesday.
News18
a day ago
- Business
- News18
SpiceJet Shares Rally As SC Ends Rs 1,323 Cr Legal Battle With KAL Airways
Last Updated: SpiceJet shares surged 7% after the Supreme Court dismissed KAL Airways' Rs 1,323 crore damage plea. Trading volume spiked with over 56.59 million shares exchanged. SpiceJet Share Price: The low-cost carrier SpiceJet's shares rallied nearly 7 per cent intraday on Wednesday, July 23, following the Supreme Court's dismissal of the Rs 1,323 crore damage plea by Maran and KAL Airways from the airline. The trading volume of SpiceJet's shares spiked with over 56.59 million shares exchanged so far. At 12:30 pm, shares were trading at Rs 40.69 with a gain of 6.80 per cent against the day's opening at Rs 38.39 apiece and the previous day close at Rs 38.10 apiece. The bench of SC comprising Justices Pamidighantam Sri Narasimha and Atul S Chandurkar dismissed the special leave petitions filed by KAL Airways and its promoter Kalanithi Maran, marking the end to the appeal process of the parties to seek damages from the low-cost carrier over a failed share transfer deal. The court's order closes all doors for KAL Airways to seek the damage compensation on the alleged contractual breach. The decade old dispute goes back to share transfer deal in 2015 where the promoter of KAL Airways, Kalanithi Maran, sold his entire stake in SpiceJet to its founder Ajay Singh. But KAL Airways has sought additional damages and payments from the deal. This has become the root cause of the decade-long dispute. June 2010: Kalanithi Maran, through Sun Group, acquires a 37.7% stake in SpiceJet, marking his entry as a major shareholder. January 2015: Maran sells his entire stake in SpiceJet to co-founder Ajay Singh for a reported Rs 2 crore, along with the transfer of Rs 1,500 crore in liabilities. This transaction forms the basis of the subsequent dispute, as KAL Airways claims additional payments and damages. 2017-2018: The dispute escalates as KAL Airways and Maran file a case against SpiceJet, alleging that SpiceJet failed to honor terms of the 2015 share transfer agreement, including the issuance of warrants and preference shares. They seek damages of over ₹1,300 crore for alleged breaches. 2020-2021: Legal proceedings continue in the Delhi High Court. KAL Airways and Maran claim SpiceJet defaulted on payments related to the share transfer, while SpiceJet contests the claims, asserting no dues were pending. The case revolves around financial obligations and contractual breaches. 2023: The Delhi High Court hears arguments in the case. KAL Airways and Maran continue to press for Rs 1,300 crore in damages, alleging non-fulfillment of contractual obligations by SpiceJet. SpiceJet counters that the claims are baseless and that it complied with the agreement. July 23, 2025: The Supreme Court of India dismisses KAL Airways' and Kalanithi Maran's appeal seeking Rs 1,300 crore in damages from SpiceJet. The court upholds the Delhi High Court's earlier ruling, providing significant relief to SpiceJet and effectively resolving the major financial claim in the dispute. view comments Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
