Ajay Singh, SpiceJet's chairman and managing director, notified the staff on Wednesday that the company has deposited around Rs 100 crore in tax deducted at source (TDS) with the income tax department for the fiscal year 2022–2023, according to people with knowledge of the event. According to him, employees would soon receive their Form-16s on the airline's internal portal. Employees must file their income tax returns using Form-16s.
Earlier this month, the troubled airline's shareholders approved raising a total of Rs 2,241.5 crore through the issuing of warrants and stock. Five other firms would receive preferential warrants worth Rs 650 crore, while 58 other entities will receive equity worth Rs 1,591.5 crore through the issuance of rights. Out of Rs 2,241.5 crore, the airline received its first tranche of Rs 744 crore on January 26.
Financial institutions, high-net-worth individuals, international institutional investors, and private investors like Elara India Opportunities Fund and Aries Opportunities Fund are among the 64 entities.
In addition to handling many court matters involving money owing to former owner Kalanithi Maran, financial services company Credit Suisse, aircraft lessors, and engine lessors, the airline has been experiencing financial difficulties for a number of quarters.
The airline has raised money in a number of ways. Under the Emergency Credit Line Guarantee Scheme (ECLGS) of the national government, the airline raised Rs 449.8 crore in the fiscal year 2022–2023. The airline declared on December 12 that it had received an additional Rs 541.3 crore under the ECLGS for the fiscal year 2023–2024.
In August 2023, Singh himself infused Rs 494.1 crore into the airline, and his entities were issued fresh equity and warrants in return. A few days later, aircraft lessor Carlyle Aviation Partners acquired a 5.91 per cent stake in the airline at Rs 48 per share. The lessor acquired the shares after converting its existing outstanding dues of $28.16 million. The airline has posted annual losses since the financial year 2018-19. Last year, it posted a consolidated net loss of Rs 1,513 crore.
