Friday, December 1, 2023

SpiceJet Executives’ Spouses’ Aviation Venture Stirs Debate

By Staff Correspondent

In a turn of events that has stirred the Indian aviation sector, spouses of top SpiceJet Ltd executives have established an aviation firm, leading to a flurry of discussions on Monday.

Sirius India Airlines Pvt. Ltd, a recently incorporated entity backed by the spouses of SpiceJet’s Chief Operating Officer, Arun Kashyap, and Chief Commercial Officer, Shilpa Bhatia, came into the spotlight following significant chatter on social media platforms.

SpiceJet, in its response, asserted that it had no involvement in the establishment of Sirius India Airlines. Moreover, the airline emphasized that the nascent company would require explicit consent from SpiceJet for any ventures into the aviation domain.

Official records reveal that Sirius India Airlines, domiciled in Delhi, was formally registered in August 2023. Despite its establishment, the company has yet to commence any operations. “Any forthcoming endeavours of Sirius India will be contingent upon the approval of SpiceJet Ltd,” conveyed a representative from SpiceJet.

Corporate data retrieved from Toflr indicates that Sirius India Airlines, a private entity, was established on 18 August with an authorized capital of ₹2.1 crore. The disclosed directors are Meenakshi Kashyap and Ajay Bhatia, who are respectively connected to Mr. Kashyap and Ms. Bhatia of SpiceJet.

The rationale behind the establishment of Sirius India remains undisclosed. “The airline was previously unaware of this development. Although current evaluations suggest no immediate need for action, we have communicated with the associated executives, emphasizing transparency concerning any developments related to Sirius India,” an anonymous official reported to Mint.

Simultaneously, SpiceJet’s shares experienced turbulence, plummeting 11% on Monday, and closing with an 8.5% decline at ₹39.89 on the BSE.

In the aftermath of the unexpected stock price movement on Friday, the stock exchange demanded clarification from the airline. In response, SpiceJet clarified, “The only impending announcement concerns the submission of un-audited financial outcomes for the half-year ending 30 September 2023, which will be communicated within the stipulated timeframe.”

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