NEW DELHI — A UK court has ordered budget airline SpiceJet to pay about $8 million to an aircraft engine lessor, marking another setback for the financially troubled carrier.
London’s Commercial Court granted summary judgment in favor of Sunbird France 02 SAS over unpaid lease rentals and maintenance accruals tied to three aircraft engines, ruling that SpiceJet had no realistic prospect of defending the claim.
The dispute stems from unpaid engine lease rentals dating back to January 2022 and maintenance-related dues going as far back as November 2020. According to the judgment, the lessor issued default notices in July 2022 before repossessing all three engines between late 2022 and mid-2023.
The ruling adds to mounting pressure on SpiceJet, which has been grappling with financial challenges following the grounding of Boeing 737 MAX aircraft and the impact of the COVID-19 pandemic.
The airline has also been losing market share to newer competitors, including Akasa Air.
Court filings showed that while SpiceJet initially engaged legal counsel in the United Kingdom, it failed to submit a formal defense or respond to the lessor’s application, leading to the summary judgment.
The airline has not yet issued an official response to the ruling.
SpiceJet’s financial position has been under increasing scrutiny, with auditors raising concerns about its ability to continue as a going concern. Recent financial results indicate rising losses and a widening gap between liabilities and assets, further clouding its long-term outlook.
Separately, a SpiceJet flight carrying around 150 passengers to Leh returned safely to Delhi shortly after takeoff on February 24 after the crew detected a possible technical issue.
“A SpiceJet flight operating from Delhi to Leh on February 24 returned to Delhi after experiencing a technical issue,” an airline spokesperson said. (Source: IANS)
