SpiceJet has failed to pay cash and transfer payments to the Indian Airport Authority (AAI) for at least four days.
Airlines usually pay monthly fees to airport operators. In the mode of cash and transportation, carriers have to pay daily to take advantage of airport services for their flights.
Two people said BusinessLine that AAI has not received a daily landing fee from SpiceJet in the last four days. The low-cost carrier has been put into cash and transportation for the past year because it could not pay the monthly fees. Since then, a daily fee had to be paid for work at AAI airports.
One source said the AAI is likely to make a decision on whether to allow the airline to fly.
Meanwhile, in the case of SpiceJet v. AAI at the Delhi High Court, the debtor airline was asked to cough up a sum of 20 ₹ in order to avoid cashing in its bank guarantees with the airport regulator.
In October 2020, the company dragged the airport’s jurisdiction to the Delhi High Court after it threatened to cash in bank guarantees for non-payment. In that regard, SpiceJet was given more authority, but could not pay the money.
AAI’s credit policy states that if the airline’s total fees exceed 75 percent of the bank guarantees provided by the airline, AAI can cash them.
Earlier this month, an individual panel judge at HC Delhi asked SpiceJet to pay 20 kroner ₹ to avoid the said monetization.
The independent carrier owes 147 crore as principal and 78 crore as interest. AAI has a bank guarantee of only approximately 155 ₹.
Meanwhile, the board of directors of SpiceJet approved the collection of 2,500 crores to finance working capital needs. The airline recently received 127 prema re under the government’s Emergency Credit Line Guarantee Scheme (ECGLS).
SpiceJet did not respond BusinessLine‘s inquiry.