NEW DELHI: Dubai Airports has suspended check-in services for SpiceJet at Dubai International Airport over unpaid dues of around 14 million UAE dirhams (approximately Rs 35.85 crore), forcing the cash-strapped airline to cancel four departures on Thursday (November 12) and operate the aircraft as empty ferry flights.
In an email to the airline, the airport operator said it had not received any payment since October 13 and that the outstanding amount had reached 14 million dirhams. It said SpiceJet had repeatedly violated the published payment terms and that check-in services would be suspended from November 12 to limit further financial exposure, according to internal emails reviewed by Informist.
Dubai Airports allowed check-in for two delayed flights, SG-5115 to Ahmedabad and SG-5106 to Delhi, which had been scheduled to depart before the suspension took effect. Four other flights to Amritsar, Jaipur, Mumbai and Delhi were cancelled. SpiceJet's internal communication cited non-payment to ground-handling company data and said the aircraft would operate as ferry flights without passengers.
The airline's Dubai station manager subsequently instructed the operations team to cancel all remaining departures from the airport until the dispute was resolved.
The Dubai Civil Aviation Authority summoned SpiceJet's station manager after the airline failed to announce the cancellations. The authority also instructed the airline to make alternative travel arrangements for affected passengers, including hotel accommodation and transportation, according to the internal correspondence.
A SpiceJet spokesperson said the airline was resolving the matter with the authorities and had "adequate bank guarantee cover in place".
The airline's financial and operational difficulties extend beyond Dubai. Directorate General of Civil Aviation (DGCA) data showed that SpiceJet cancelled 20.29% of its scheduled flights in September, while its on-time performance at major airports fell to 16.6%.
The airline's regulatory filings showed that Rs 63.03 crore owed to small businesses remained unpaid beyond the stipulated 45-day payment period between April and September 2026.
Its fleet has shrunk to 12 aircraft, of which only nine were operational, while three remained grounded amid difficulties in paying aircraft lessors. In August 2024, SpiceJet passengers in Dubai had also faced disruptions over unpaid dues.
The airline's board is scheduled to meet on November 18 to consider a proposal to raise fresh capital, PTI reported.
(with inputs from media organisations)