Sun Group chairman and founder Kalanithi Maran, a former promoter of SpiceJet, has rejected the budget carrier’s ₹600 crore one-time settlement offer made to end the long-standing share transfer dispute. The Supreme Court was apprised of the decision on Monday.
The development comes after the SC had asked Maran and his KAL Airways to settle their dispute with the airline.
Maninder Singh, a senior advocate from Karanjawala & Co, appearing on behalf of Maran and KAL Airways, submitted before the court that it was not possible for his clients to consider the offer proposed by SpiceJet. He submitted that as per the arbitral award itself, SpiceJet has to pay them ₹920 crore, and that he can take the court through the calculations as per the arbitration award from the pleadings in support of the arguments.
The matter is due for hearing on March 2.
The dispute between Maran and SpiceJet dates back to 2015 when KAL transferred 58.46 per cent of the shares held by them to Ajay Singh, then a co-founder and now the Chairman of SpiceJet, for ₹2 each. Singh had taken on the airline’s liabilities valuing at ₹1,500 crore.