The Delhi High Court has issued SpiceJet (SG, Delhi International) with a contempt notice after it ignored earlier deadlines to return three aircraft engines to lessor TWC Aviation Capital. However, the court will stay the action if the low-cost carrier hands over the engines by a new July 8, 2024, deadline.
ch-aviation previously reported on efforts by TWC Aviation to retrieve its engines after SpiceJet racked up around USD14 million in debts. In mid-May, after obtaining a UK judgement, a Delhi High Court order was issued to hand over the engines by May 28, later extended to June 16, but no handover occurred.
Appearing on behalf of SpiceJet on July 2, Senior Advocate Amit Sibal told the court the engines were fitted to in-service aircraft and, if removed, would require the aircraft's grounding. During the May hearings, the court criticised SpiceJet for removing the engines from their assigned aircraft and fixing them to other airframes, contrary to the original lease's terms. SpiceJet did not respond to a request for comment
SpiceJet is experiencing long-running and significant operational problems caused by high numbers of out-of-service aircraft. According to ch-aviation fleets data, it has 56 aircraft (excluding wet-leased aircraft), but 33 of those aircraft are on the ground, including three of five B737-700s, two of three B737-700(BDSF)s, two of seven B737-8s, five of fourteen B737-800s, all three B737-900ERs, and eighteen of twenty-four DHC-8-Q400s. SpiceJet is attempting to mitigate the impact of this by wet-leasing in eight planes.
The matter returns to court on July 9.
