New Delhi | July 23, 2025 

Ending a years-long corporate tug-of-war, the Supreme Court of India has rejected the appeals filed by Kalanithi Maran and his company KAL Airways, who were seeking over ₹1,300 crore in damages from SpiceJet over a botched share transfer and investment deal.

A two-judge bench led by Justice P.S. Narasimha and Justice A.S. Chandurkar upheld the Delhi High Court’s earlier refusal to entertain the appeal, finding that Maran and his firm had “consciously delayed” their filings and attempted to mislead the courts on the timeline of their pleadings.

“The delay appears to be deliberate and strategic, rather than accidental or negligent,” the Court observed.

The Roots of the Dispute

Back in 2015, as SpiceJet was flying into financial turbulence, media mogul Kalanithi Maran (owner of Sun Group) and KAL Airways exited the airline, transferring a 58.46% stake to current chairman Ajay Singh for a token consideration of ₹2.

As part of the transition, Maran claimed to have invested ₹679 crore towards the issuance of warrants and preference shares, which SpiceJet never delivered.

Maran approached an arbitral tribunal seeking ₹1,323 crore in damages, but the tribunal in 2018 denied the compensation, instead awarding a partial refund of ₹579 crore plus interest.

Strategic Delay Backfires

The latest dispute arose not over the arbitral award itself, but over how and when Maran’s side tried to challenge it. The Delhi High Court had refused to condone their delay in filing under Section 34 of the Arbitration Act. That decision has now been fully endorsed by the Supreme Court.

The Court criticized the appellants for attempting to “repackage” their pleas after previously failing to pursue them diligently. In fact, the Special Leave Petition (SLP) was filed only after a prior SLP in a related matter was rejected.

“This kind of litigation strategy is not just inefficient—it’s abusive,” remarked the Bench.

Market Impact

Investors reacted positively to the clarity the judgment brings. SpiceJet stock jumped 6% intraday following the announcement, as fears of a heavy payout evaporated.

This verdict clears one of the airline’s biggest legal hurdles in recent years and may allow it to focus on its much-needed financial restructuring.

Case Name :   KAL Airways Pvt. Ltd. & Kalanithi Maran v. SpiceJet Ltd.