SpiceJet Faces Fresh Legal Pressure Over Attempt to Enforce $8 Million UK Judgment

SpiceJet Faces Another Legal Setback Amid Ongoing Financial Stress

New Delhi: In a fresh blow to cash-strapped airline SpiceJet, France-based aircraft engine lessor Sunbird France 02 SAS has approached the Delhi High Court seeking enforcement of a UK court judgment that directs the airline to pay nearly $8 million in unpaid lease rentals and maintenance dues linked to three aircraft engines.

The case came up for hearing before Justice Vikas Mahajan on Thursday, who asked SpiceJet to file an affidavit disclosing its assets. SpiceJet's senior advocate Amit Sibal, however, sought time to obtain instructions on the issue, arguing that the airline is a running operation and not a fly-by-night operator. Sibal emphasized that coercive directions could disrupt operations, as SpiceJet operates around 135 flights daily, carries nearly 21,000 passengers a day, and employs about 6,400 people.

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Sunbird's senior advocate Rajshekhar Rao argued that the lessor is not seeking to halt SpiceJet's operations but only seeking safeguards while the case remains pending. Rao also alleged that despite pending dues to creditors, SpiceJet had paid advance compensation to its chairman, Mr. Singh, worth $3.4 million for five years in September 2025.

The dispute stems from a judgment delivered by the Commercial Court in London on March 13, a copy of which was reviewed by Mint. The UK judgment relates to three aircraft engines leased to SpiceJet in 2019. According to the judgment, Sunbird alleged that SpiceJet stopped making rental payments from January 2022 onwards, except for one payment of $7,088.19 received in May 2024. The lessor also claimed that the airline failed to pay maintenance accruals from November 2020.

Following the alleged defaults, Sunbird issued notices in July 2022 and later repossessed the engines in phases. Two engines were repossessed in December 2022, while the third was taken back in July 2023. Sunbird subsequently moved the London Commercial Court seeking recovery of $7.96 million in unpaid rent and maintenance charges across the three engines.

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The latest proceedings add to SpiceJet's broader legal troubles at a time when the airline is already battling a long-running arbitration dispute with Kalanithi Maran and KAL Airways over unpaid dues. SpiceJet had earlier told the Supreme Court of India on May 19 that it would clear its dues once it received support under the government's proposed ₹5,000-crore package for airlines aimed at helping carriers cope with rising fuel costs and flight disruptions.