SpiceJet will pay ₹8 crore every month to Credit Suisse

Earlier on September 11, the Supreme Court had said that if Chairman Ajay Singh does not make the payment, he will be sent to Tihar (jail). After this, SpiceJet paid 1.5 million dollars (about ₹ 12 crore) to Credit Suisse.

In this case, on August 14, the Supreme Court issued a contempt notice against Ajay Singh. According to the court filing, Ajay Singh deliberately did not follow the conditions of the consent. Also, he did not pay Rs 199.25 crore despite the court order.

Spice Jet had signed a 10-year deal with Switzerland-based company SRT Techniques (Credit Suisse) in 2011 for the maintenance of aircraft engines. In 2013, Credit Suisse filed a case against SpiceJet accusing it of not making timely payments.

While hearing the case, Madras High Court had ordered the closure of SpiceJet by 2021. SpiceJet had filed a petition in the Supreme Court against this order of the High Court. After this, the SC had asked both the parties to resolve the matter by mutual consent.

An agreement was signed between Credit Suisse and the airline in May 2022. Under which there was talk of giving about Rs 199 crore to Credit Suisse as advance payment and outstanding payment to SpiceJet within a certain time.