SpiceJet informed in a regulatory filing on Friday that it has completed a $1.5 million payment to Credit Suisse, following a Supreme Court directive in the case.
The company said in a statement," SpiceJet Ltd. has complied with the directive of the Supreme Court by remitting $1.5 million to Credit Suisse. The payment was executed on Thursday, September 14th."
The development comes days after the Supreme Court made strong remarks in the case. The apex court had warned airline's Chairman Ajay Singh that if he doesn't pay the amount in the stipulated time, he would be sent to Tihar jail.
The case between Credit Suisse and SpiceJet pertains to a 2015 dispute over the former's claim of $24 million unpaid dues. Madras High Court had ordered the wounding up of airline following the proceedings in the case and asked its official liquidator to take over the assets of the company.
However, the apex court set aside the order and asked the two parties to reach a settlement following which both of them signed an agreement. While the two had settled the dispute in August 2022, Credit Suisse knocked on the doors of Supreme Court again to file a contempt case against Singh. The bank argued that the airline failed to complete the payment of the dues.
As part of the Supreme Court's order in the case, Singh was asked to pay $500,000 as an instalment along with the default amount of $1 million. The court had given the airline time till September 15. The next hearing in the case was set on September 22.