CHENNAI: The Celebi Ground Services Chennai Private Limited has moved the Madras High Court against the Airports Authority of India (AAI) for cancelling the agreement made with it for the Chennai airport ground handling operations and initiating the process to float a new tender to hire another agency for the operations.
The contract of the subsidiary of the Turkey- based Celebi Services was terminated following Turkey backing Pakistan in the recent conflict with India in the aftermath of the terror attack in Pahalgam in Jammu and Kashmir in April wherein 26 civilians were killed.
The application included a prayer for an order of interim injunction to restrain the AAI or its agents from initiating a process to float a fresh tender for awarding ground handling services at Chennai airport to any third parties.
When the application came up for hearing before Justice Abdul Quddhose, senior counsel P S Raman, representing the company, submitted that Celebi has invested huge amounts of money for its equipment and it has incurred a big loss due to sudden termination of the agreement. He also stated that the attempts to appoint a third party agency would affect the company, and its equipment could be used by such third party agencies. Raman sought an interim stay against floating of fresh tender.
Solicitor General (SG) Tushar Mehta and Additional Solicitor General (ASG) A R L Sundaresan – representing AAI – submitted that the termination of the contract was necessitated due to the cancellation of the security clearance.
“The Chennai airport has to statutorily have not less than three ground handling agencies at a time due to the large volume of passengers. Hence the Airports Authority has to go for a public tender to appoint the third ground handling agency,” they said.
They also informed the court that the apprehension that the new ground handling agency will use the equipment of Celebi is misconceived. AAI neither requires the equipment of Celebi nor authorises any other agency to use them, they said. Further, they assured that the tenders and selection of the new ground handling agency will be subject to the outcome of the case.
Recording the submissions, the judge said if the undertaking is violated, Celebi can approach the court. The judge posted the matter for hearing to July 7.
No security clearance
Solicitor General Tushar Mehta and Additional Solicitor General ARL Sundaresan – representing AAI – submitted in the court that the termination of the Turkey-based company’s contract was necessitated due to the cancellation of the security clearance