SpiceJet (SG, Delhi International) faces a criminal investigation for failing to deposit over INR650 million rupees (USD7.7 million) in employee provident fund contributions, according to an Economic Times report. The newspaper says the Delhi Police's Economic Offences Wing lodged a first information report (FIR) on September 16 following a complaint by the Employees' Provident Fund Organisation (EPFO). On October 4, the low-cost carrier confirmed it had brought its provident fund payments up to date. This followed a successful INR300 billion (USD357.1 million) capital raising in the interim period.
Chairman and managing director Ajay Singh, director Shiwani Singh, independent director Anurag Bhargava, Ajay Chhotelal Aggarwal, and Manoj Kumar were all named in the FIR, a formal document police prepare after receiving information about the commission of a cognisable offence.
According to the filing, SpiceJet deducted 12% in provident fund contributions from payroll payments between June 2022 and July 2024 but failed to remit those payments to the provident funds within the required 15 days.ch-aviation has previously reported on issues with SpiceJet's provident fund payments.
SpiceJet says it has since paid ten months worth of provident fund payments and cleared all outstanding salary and GST dues. The airline says the successful capital raising in September has allowed it to clear a backlog of liabilities. "The process of clearing the remaining dues is ongoing," an October 4 statement from the airline reads. "Additionally, we have successfully reached settlements with multiple lessors."
