SpiceJet promises to pay Credit Suisse $1 million in each of the next six months

Credit Suisse and SpiceJet have been engaged in a legal dispute since 2015 over the bank's claim of unpaid dues of around $24 million, which led to a Madras High Court order that the airline be wound up in 2021.

Even after agreeing to a settlement plan, the dues were not paid, and in March, Credit Suisse moved the Supreme Court, seeking to initiate contempt proceedings against SpiceJet and its Chairman and Managing Director Ajay Singh over "a wilful and intentional disobedience" of court orders and failure to pay dues of $4.5 million.

Last week, the low-cost carrier said it had completed a payment of $1.5 million to Credit Suisse. A third of this amount is part of a monthly settlement plan SpiceJet had previously agreed to with Credit Suisse, and the rest are unpaid dues to the bank that have accrued since 2022 after the budget airline failed to keep up with the payment schedule.

At the September 22 hearing, Credit Suisse submitted that it is interested in clearing dues and not in sending SpiceJet CEO Ajay Singh to jail.

SpiceJet had previously said the Credit Suisse debt predated the tenure of its current management.

Separately, SpiceJet last week said it had completed the payment of Rs 100 crore to former promoter Kalanithi Maran's KAL Airways as per the Delhi High Court's order regarding the execution of an arbitral award.