Supreme Court advises KAL Airlines to consider SpiceJet offer
Supreme Court advises KAL Airlines to consider SpiceJet offer
A bench led by Chief Justice NV Ramana has given Kalanithi Maran time till February 14 to respond to the settlement
During the Supreme Court hearing, domestic airlines Spicejet has proposed a peace treaty with KAL Airways. It has offered to pay Rs.600 crore in cash in the share transfer case with Kalanithi Maran and his firm KAL Airways for a full and final settlement of all disputes.
The apex court has now asked the former promoter of the airlines to consider the settlement offer.
Appearing for SpiceJet, senior advocate Mukul Rohatgi informed the court that out of the principal amount of Rs.578 crore awarded in arbitration, the airline had already paid Rs.308 crore in cash and deposited a bank guarantee of Rs.270 crore.
He said that Spicejet proposed to pay the bank guarantee of an equivalent amount of Rs.270 crore in cash and an additional Rs.22 crore aggregating the total to Rs.600 crore.
Chief Justice NV Ramana-led bench directed senior advocate Maninder Singh, appearing for Maran, to ask his client if he was willing to take SpiceJet's offer of paying Rs.300 crore as a final amount. It would save further litigation proceedings and resolve the dispute between the two parties.
The next hearing on the matter was fixed for Monday.
