HC refuses to stay order upholding arbitral award in favour of Kalanithi Maran and against SpiceJet
New Delhi, Aug 24: The Delhi High Court on Thursday refused to stay a single judge order upholding an arbitral award asking SpiceJet and its promoter Ajay Singh to refund Rs 579 crore plus interest to media baron Kalanithi Maran.
A division bench of Justices Yashwant Verma and Dharmesh Sharma issued notice and sought the response of Maran and his company Kal Airways on an appeal filed by Singh and SpiceJet challenging the single judge's July 31 order.
The high court rejected the application for stay on the order of the single judge bench, saying the Supreme Court's July 7 order binds it and listed the appeal for further hearing on October 31.
"In light of the Supreme Court directions and order of July 7, no interim order can possibly be granted in favour of the appellants absolving them of the obligations which emanate from the two orders (of the apex court). The application is consequently rejected," the bench said.
On July 7, the Supreme Court had refused to extend the time granted to SpiceJet for making payment to Maran and Kal Airways in pursuance of the arbitral award, saying these were "luxury" litigations.
While refusing to extend the time, the Delhi High Court had on June 1 directed SpiceJet to deposit "forthwith" Rs 75 crore that has to be paid to Maran and his Kal Airways towards interest on the arbitral award.
During the hearing on Thursday, senior advocate Amit Sibal, representing SpiceJet and Singh, argued that his challenge was on the issue of 18 per cent interest which the tribunal had directed SpiceJet to pay.
He said SpiceJet could not pay Rs 75 crore to Maran due to lack of funds and not because it did not want to pay.
SpiceJet, in a statement, said, "We are hopeful for an expeditious resolution of the appeal. We are committed to presenting our matter diligently and respectfully seeking a just and fair resolution."
Maran and Kal Airways were represented by senior lawyer Maninder Singh and law firm Karanjawala and company.
On July 31, the single judge had upheld the award announced by the arbitral tribunal on July 20, 2018 in favour of Maran and Kal Airways.
It had said the court was barred from entering into the merits of an award unless there was an error that was apparent on the face of the record or an illegality that goes to the root of the matter.
Singh had approached the single judge bench of the high court challenging the arbitral award.
The case dates to January 2015, when Singh, who owned the airline earlier, bought it back from Maran after it was grounded for months due to resource crunch.
While the tribunal had asked Maran to pay Singh and the airline Rs 29 crore in penal interest, Singh was asked to refund Rs 579 crore plus interest to Maran.
The tribunal, created in 2016 on the orders of the Delhi High Court to adjudicate the share transfer dispute, had held that there was no breach of a share sale and purchase agreement reached between Maran and current promoter Singh in late January 2015.
In a relief to Singh, the tribunal had, however, rejected Maran's appeal for damages of Rs 1,323 crore from the Gurugram-based carrier.
In February 2015, Maran of the Sun Network and Kal Airways, his investment vehicle, had transferred their 58.46 per cent stake in SpiceJet to Singh for Rs 2 along with Rs 1,500 crore debt liability, after the airline was grounded due to a severe cash crunch. Singh was the first co-founder of the airline and is now its the chairman and managing director.
As part of the agreement, Maran and Kal Airways had claimed to have paid Spicejet Rs 679 crore for issuing warrants and preference shares. However, Maran approached the Delhi High Court in 2017, alleging SpiceJet had neither issued convertible warrants and preference shares nor returned the money.
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Karnataka offers extensive incentives in its proposed IT policy
Bengaluru (PTI): Karnataka has proposed a new Information Technology Policy for 2025–2030, offering extensive financial and non-financial incentives aimed at accelerating investments, strengthening innovation and expanding the state's tech footprint beyond Bengaluru.
The Karnataka Cabinet gave its nod to the policy 2025–2030 with an outlay of Rs 445.50 crore on Thursday after the Finance Department accorded its approval.
The policy introduces 16 incentives across five enabler categories, nine of which are entirely new, with a distinctive push to support companies setting up or expanding in emerging cities.
Alongside financial support, the government is also offering labour-law relaxations, round-the-clock operational permissions and industry-ready human capital programmes to make Karnataka a globally competitive 'AI-native' destination.
According to the policy, units located outside Bengaluru will gain access to a wide suite of benefits, including research and development and IP creation incentives, internship reimbursements, talent relocation support and recruitment assistance.
The benefits also include EPF reimbursement, faculty development support, rental assistance, certification subsidies, electricity tariff rebates, property tax reimbursement, telecom infrastructure support, and assistance for events and conferences.
Bengaluru Urban will receive a focused set of six research and development and talent-oriented incentives, while Indian Global Capability Centres (GCCs) operating in the state will be brought under the incentive net.
Incentive caps and eligibility thresholds have been raised, and the policy prioritises growth-focused investments for both new and expanding units.
Beyond incentives, the government focuses on infrastructure and innovation interventions.
A flagship proposal in the policy is the creation of Techniverse -- integrated, technology-enabled enclaves developed through a public-private partnership model inside future Global Innovation Districts.
These campuses will offer plug-and-play facilities, artificial intelligence and machine learning and cybersecurity labs, advanced testbeds, experience centres, and disaster-resistant command centres.
There will also be a Statewide Digital Hub Grid and a Global Test Bed Infrastructure Network, linking public and private research and development, and innovation facilities across Karnataka.
The government has proposed a Women Global Tech Missions Fellowship for 1,000 mid-career women technologists, an IT Talent Return Programme to absorb experienced professionals returning from abroad, and broad-based skill and faculty development reimbursements.
Shared corporate transport routes in Bengaluru and tier-two cities will be designed with Bengaluru Metropolitan Transport Corporation and other transport entities to support worker mobility.
The government said the policy is the outcome of an extensive research and consultation process involving TCS, Infosys, Wipro, IBM, HCL, Tech Mahindra, Cognizant, HP, Google, Accenture and NASSCOM, along with sector experts and stakeholder groups.
It estimates an outlay of Rs 967.12 crore over five years, comprising Rs 754.62 crore for incentives and Rs 212.50 crore for interventions such as Techniverse campuses, digital grid development, global outreach missions and talent programmes.
