SpiceJet completes Rs 100 cr payment to Kal Airways

According to a statement issued by the carrier, to Kal Airways Private Limited a payment of Rs 77.5 crore had been made to Kal Airways till September 11, and the rest of the amount was paid today.

The Delhi High Court on Monday had ordered Spicejet and its chairman and managing director (CMD), Ajay Singh, to make an RTGS transfer before 4 pm on Tuesday.

The direction was given following a plea by Kal Airways stating that the order passed by the Court’s order to make the payment was being ignored.

Earlier, the Delhi High Court Spicejet to pay Rs 100 Crore by September 10.

Meanwhile, the Supreme Court reprimanded SpiceJet's Chairman and Managing Director Ajay Singh over a delay in paying $5,00,000 as an installment along with a $1 million defaulted amount to Credit Suisse AG, ANI reported.

"We have to move to the next drastic step. We are not worried even if you shut down," a bench of Justices Vikram Nath and Ahsanuddin Amanullah observed.

"We are not bothered even if you die. It is too much. We will send you to Tihar jail if you do not pay."

According to the Swiss firm, SpiceJet had taken the services of SR Technics, Switzerland, for maintenance, repair, and overhaul of aircraft engines, modules, components, assemblies, and parts, which were mandatory for its operations.

An agreement for such services was entered into between SpiceJet and SR Technics on November 24, 2011, for 10 years. The terms of payments were also agreed upon.

SR Technics had given Credit Suisse the right to receive payments from SpiceJet for the services.

On July 25, the top court had granted SpiceJet additional time to make the payment to Credit Suisse as per the consent terms agreed upon by the two parties.