The long-running legal battle between SpiceJet, its co-founder Ajay Singh, and media baron Kalanithi Maran has reached another potential conclusion. On Monday, the airline announced that the Delhi High Court has dismissed a Rs 1,323 crore damages claim filed by Maran and his investment vehicle, KAL Airways, against SpiceJet.
"The Division Bench of the Delhi High Court, in its order dated May 23 2025, has dismissed the appeal filed by KAL Airways and Kalanithi Maran seeking damages of over Rs 1,300 crore and other claims. These assertions were already previously rejected by the Arbitral Tribunal and then by the Delhi High Court," the airline said in an exchange filing.
What is the case about?
In 2015, Kalanithi Maran and KAL Airways transferred their 58.46% stake in SpiceJet to Ajay Singh, along with a Rs 1,500 crore debt liability, after the airline faced severe financial difficulties.
As part of the agreement, Maran and KAL Airways claimed to have paid Rs 679 crore to SpiceJet for the issuance of convertible warrants and preference shares. They later alleged that SpiceJet failed to issue these securities and sought Rs 1,323 crore in damages.
Maran, who owns the Sun Network, approached the Delhi High Court in 2017. The case was subsequently referred to arbitration, under a panel of three retired Supreme Court judges, as per the High Court's directive to resolve the share transfer dispute.
In July 2018, the arbitration panel rejected the Rs 1,323 crore damages claim but awarded Maran and KAL Airways a refund of Rs 579 crore plus interest. SpiceJet was directed to pay Rs 308 crore in cash with 12% interest for 30 months, and to return Rs 270 crore via compulsory redeemable preference shares or cash. Failure to comply would attract 18% interest, according to a Moneycontrol report.
Both sides challenged parts of the award in the Delhi High Court, while Maran also sought its execution. SpiceJet delayed payment, citing a Supreme Court stay obtained in 2020, which remained in effect for 2.5 years and was lifted in February 2023. The Supreme Court then directed SpiceJet to pay Rs 75 crore within three months and allowed Maran to encash a Rs 250 crore bank guarantee. SpiceJet’s plea for more time was rejected in July 2023.
In July 2024, a single judge of the Delhi High Court upheld the arbitral award, dismissing objections from both parties. SpiceJet appealed, but on 24 August, a division bench of the High Court refused to stay the order. Execution proceedings continued, and SpiceJet was directed to pay Rs 100 crore to Maran.
