AAI can detain aircraft if airlines default on dues: Supreme Court

The apex court also issued notices to Aer Lingus, directing it to file reply.

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The Supreme Court today stayed the Bombay High Court order that Airport Authority of India (AAI) can't detain aircraft on account of airlines' pending dues.

A bench comprising Justice G S Singhvi and Justice A K Ganguly stayed the High Court orders on waiving off the bank guarantee of Aer Lingus, which had leased two Boeing 737-200 aircraft to defunct East West (EW) Airlines in November 1992.

The apex court also issued notices to Aer Lingus, directing it to file reply.

During the proceedings, Attorney General Goolam E Vahanvati appearing for AAI said that the authority has the right to detain the aircraft for non-payment of dues.

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