The issue arose from the Indian government’s decision to revoke Celebi’s security clearance, citing national security concerns due to Turkey’s public support for Pakistan during a brief military conflict in May.
In response, the company challenged the revocation of its security clearance in the Delhi High Court. Additional actions were filed in the Bombay and Madras High Courts, seeking protection against the airport operators appointing another agency for ground handling in those cities.
The appeal to the Gujarat High Court contested a lower commercial court’s decision that dismissed Celebi’s application for interim relief under section 9 of the Arbitration and Conciliation Act regarding the Ahmedabad airport services agreement.
The lower commercial court in Gujarat rejected its plea on the grounds that Celebi had not contested the revocation of its security clearance, as cited by Celebi’s counsel.
However, the parent company of Celebi has indeed filed an appeal in the Delhi High Court, which is currently pending, he noted.
Additionally, the Bombay High Court granted the company interim relief against Mumbai International Airport Limited (MIAL), preventing the operator from finalizing bids to replace Celebi, according to the counsel.
On the other hand, the respondent’s counsel argued that Celebi’s ground handling services agreement became void directly as a result of the revocation of its security clearance.
The Gujarat High Court determined that it was not inclined to issue an order preventing the Adani Group from finalizing a handler for airport ground services. The court has issued a notice on the appeal and scheduled a hearing for June 10, as reported.
