Delhi High Court denies SpiceJet's offer of Gurugram land in place of cash deposit
The Delhi High Court rejected SpiceJet's proposal to provide a one-acre Gurugram land parcel instead of depositing ₹144 crore in the Kalanithi Maran & KAL Airways case.
The dispute stems from a 2015 share transfer in which Kalanithi Maran and KAL Airways sold their 58.46% stake in SpiceJet to Singh. After arbitration awarded a ₹579 crore refund with interest, Maran challenged the decision in the Delhi High Court. The court directed SpiceJet and Singh to deposit the sum, allowing a bank guarantee for ₹329 crore and a cash payment of ₹250 crore. SpiceJet countered by offering an unencumbered one-acre land parcel in Udyog Vihar, Gurugram, valued at ₹400-500 crore as security. The High Court rejected this land-offering, upholding the requirement for the monetary deposit.
Why it matters
The ruling determines how large corporate disputes are settled, affecting investor confidence and asset-security practices.
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