**Supreme Court Dismisses KAL Airways’ ₹1,300 Crore Damages Claim Against SpiceJet**
The Supreme Court has dismissed an appeal by KAL Airways and Kalanithi Maran, which sought damages exceeding ₹1,300 crore from SpiceJet. This ruling marks a significant development in a long-standing legal dispute involving the former promoters of the airline.
In a regulatory filing, SpiceJet confirmed that the Supreme Court’s decision effectively concludes the appeals made by KAL Airways and Maran. The court will now address SpiceJet’s own appeal concerning two key issues: the interest levied, which has been largely deposited with the court, and the premature refund of Cumulative Redeemable Preference Shares (CRPS) by the Arbitral Tribunal.
The origins of this case trace back to early 2015 when Ajay Singh, the current promoter of SpiceJet, reacquired the airline from Maran after it faced operational challenges. As part of the acquisition agreement, Maran and KAL Airways claimed to have paid SpiceJet ₹679 crore for the issuance of warrants and preference shares. However, in 2017, Maran alleged that SpiceJet failed to issue the promised convertible warrants and preference shares, leading to a protracted legal battle over share transfers.
The Supreme Court’s ruling follows previous rejections of these claims by the Arbitral Tribunal and the Delhi High Court. Following the announcement, SpiceJet’s shares were trading down by 1.84% at ₹39.55 on the Bombay Stock Exchange.
In summary, the dismissal of KAL Airways’ appeal represents a pivotal moment for SpiceJet as it continues to navigate its legal challenges and financial recovery.
**FAQ**
*What was the outcome of the Supreme Court ruling regarding KAL Airways and SpiceJet?*
The Supreme Court dismissed KAL Airways and Kalanithi Maran’s appeal for damages exceeding ₹1,300 crore against SpiceJet, concluding a long-standing legal dispute.
