NCLT gives SpiceJet two days to settle creditor dues after last-minute payment
The tribunal questioned SpiceJet’s ₹4.78 crore payment to one creditor while other claims remain unresolved, giving the airline two days to clear outstanding dues. The carrier faces eight insolvency petitions amid widening losses, declining revenue and a sharp drop in market share.
What happened
NCLT gave SpiceJet two days to clear dues to other creditors after it paid ₹4.78 crore to Aviator ML 29641 Ltd at the last minute. The airline faces eight
Key facts
- ₹4.78 crore ($500,000) paid to Aviator ML 29641 Ltd
- Two days to settle other creditors' dues
- Eight insolvency petitions filed in 2024
- ₹1,138.15 crore net loss for nine months ended December 31
- ₹266.8 crore net loss a year earlier
- ₹3,271.5 crore revenue from operations, down 14%
- 1.9% market share in June versus 3.9% at the start of the year
- Shares down 61% year-to-date versus Nifty 50 down 7.22%
Why this matters
SpiceJet’s distress could create partnership, asset-acquisition or restructuring opportunities, but unresolved creditor liabilities and regulatory uncertainty require careful due diligence.
What to watch
- Proof of full payment or settlement filing within the two-day NCLT window.
- NCLT response to the payment and whether pending insolvency petitions are adjourned, consolidated or admitted.
- Any new lessor, airport, fuel supplier, maintenance-provider or employee claims.
- Flight cancellations, grounded aircraft count, schedule cuts and on-time-performance deterioration.
- Further market-share loss versus IndiGo, Air India group and Akasa Air.
- Evidence of fresh equity, promoter funding, debt refinancing, asset sale or strategic investor discussions.
- Vendor moves to cash-and-carry terms or restrictions on fuel, maintenance and airport services.
- Secure bridge funding or promoter-backed liquidity to meet the immediate NCLT-directed payment window.
- Negotiate bundled settlements with multiple creditors rather than making isolated payments that invite preferential-treatment scrutiny.
- Prioritize aircraft availability, fuel, airport and maintenance vendors to protect the operating schedule and cash-generating routes.
- Accelerate asset sales, lease renegotiations and receivables collection while reducing unprofitable capacity.
- Use a formal creditor communication plan to limit booking, vendor and employee confidence deterioration.