SpiceJet-Credit Suisse Dispute: Supreme Court Extends Relief To The Airline
The Supreme Court has granted additional time to SpiceJet Ltd. in a contempt petition by Credit Suisse Group AG against the distressed airline for failing to pay its dues in accordance with a court-approved settlement agreement.
Appearing for Spicejet, senior advocate Shyam Divan said that $5,00,000 has been deposited with the Swiss investment bank every month since April and that a total sum of $2 million has been paid till now.
Divan assured the court that SpiceJet will try to increase the monthly amount of $5,00,000 that it has been paying, but added that it would not be possible to clear the dues in one fell swoop.
Credit Suisse's counsel submitted that at the time of filing the contempt petition, the outstanding dues were $3.9 million, which has now gone over $4 million because SpiceJet missed paying an installment.
The court will now examine the assurances made by the airline in the third week of August.
In May last year, SpiceJet and Credit Suisse reached a settlement agreement, which was later approved by the apex court.
The dispute emanates from an aircraft maintenance agreement that SpiceJet entered into with Switzerland-based SR Technics in 2011. Later, SR Technics signed a financing agreement with Credit Suisse. This gave Credit Suisse the right to get paid for invoices raised against SpiceJet for maintenance and repair of the aircraft.
In December 2021, the Madras High Court ordered the winding up of SpiceJet on the grounds that it failed to clear debt owed to Credit Suisse.
This led to the matter landing in the top court, where both sides finally agreed to settle the dispute through a court-approved settlement.
-
Signature Play: The Classic Cocktail Is Dead. Or Is It?
Classic cocktails are disappearing from India's cocktail menus. But they're still being ordered, taught to bartenders and borrowed from. So, who's really having the last drink?
-
A New Samvat Wishlist: Inclusive Prosperity And Human Development
India has strengthened its economic foundations through infrastructure, digital access and enterprise. Its next growth chapter must deepen productivity, create better livelihoods and widen participation in prosperity.
-
Love, Sex Aur Dhokha: The Audacious Plot To Spy On Jensen Huang
A Taipei dinner, a Singapore chip buyer and a suspected Chinese asset: inside the alleged spy operation that got close to NVIDIA's Jensen Huang.
-
Ten Things I Learnt This Samvat
Patience can be a trap. Cheap stocks can stay cheap. Leverage can wipe you out. What did Samvat 2082 teach us? Niraj Shah writes on 10 lessons from the year gone by.
-
Talking Points This Week: Tech Nerves, FII Buying, And A Faraway Banking Shock
The global markets are not shining this Diwali. The exception in the large markets is, India.
-
Midterm Rally Lasted A Day. The Hard Reality Of A Divided US May Last Two Years | Opinion
Between a contested AI boom, a debt ceiling that arrives in 2027 and a president with every incentive to act alone, the next two years may prove more volatile than the first day's rally suggests.
-
Blue Wave Will Derail the AI Trade but Won't Dismantle the AI Era | Unhedged Position
The Democrats' sweep of the US Congress will see politics collide with economic forces both over the long and short term.
-
It's Time To Take The GST Council's Bet On Trust Global
Payment records can prove India's services exports, and clear, proportionate rules can bring foreign digital sellers into the tax net.
-
Opinion | India at 38: From Innovation Overperformer to Innovation Powerhouse
India now has 453 VC-backed deep science startups, 18 of them late-stage, after 117 percent growth since 2020. Laurus Labs, at USD 9.3 billion, is the most valuable deep science company in any middle-income economy outside China.
