Trouble seems to be brewing for SpiceJet again as the Delhi High Court has given the airline one last chance to deposit ₹144.5 crore within four weeks in its long-running legal dispute with Kalanithi Maran and KAL Airways Pvt Ltd. The court made it clear that the airline must comply, rejecting its request to offer property instead of paying cash.

Justice Subramonium Prasad refused to modify an earlier order that required SpiceJet to deposit the money. The airline had proposed using an immovable property worth around ₹148 crore as security instead of making the payment. However, the judge declined this request and gave a firm direction: “Dismissed. I am extending the time by four more weeks to deposit the money. Sell the property in four weeks.”

The court indicated that it had already given sufficient time and that further delays would not be accepted.

SpiceJet told the court that making the payment immediately would affect its operations. Senior lawyer Amit Sibal argued that the airline is facing financial difficulties due to flight cancellations, especially on Gulf routes.

He pointed out that the airline serves around 22,000 passengers daily and employs about 7,000 people, and warned that a large cash payment could disrupt operations.

The airline said its liquidity problems have worsened due to reduced flights to the Gulf region. Despite this, the court did not allow any relaxation, although it acknowledged the broader impact on employees and passengers while granting additional time.

Earlier, the Supreme Court of India had also refused to stay the High Court’s order directing SpiceJet to pay the amount. The top court even imposed a ₹1 lakh penalty on the airline for prolonging the case.

Following this, SpiceJet had approached the High Court again seeking permission to provide property instead of cash, which has now been rejected. In its earlier order, the High Court recorded that SpiceJet had admitted that ₹194.5 crore was due under court directions.

After adjusting for ₹50 crore already paid, the remaining ₹144.5 crore is still pending.

The dispute dates back to 2015, when Kalanithi Maran and KAL Airways transferred their majority stake in SpiceJet to the airline’s current promoter, Ajay Singh, at a time when the airline was facing serious financial trouble. As part of that deal, Maran had invested around ₹679 crore in the airline through financial instruments such as warrants and preference shares.

Later, Maran alleged that these instruments were not issued as agreed and sought a refund.

The matter went to arbitration, and in 2018, a tribunal directed SpiceJet to refund ₹579 crore along with interest. However, it rejected Maran’s larger claim for damages.

Since then, both sides have challenged different parts of the ruling, leading to a prolonged legal battle across courts. SpiceJet has said it has already paid about ₹730 crore, including the principal amount and interest. However, the current dispute over pending payments continues.

This case remains a major financial and legal challenge for SpiceJet, which has been dealing with liquidity issues, aircraft groundings, and disputes with lessors and creditors in recent years. The latest court order increases pressure on the airline to arrange funds quickly and resolve the matter within the given deadline.