Today, On 9th June, The Madras High Court considered Celebi Airport Services India’s petition against the cancellation of its contract over security concerns. Justice Abdul Quddhose is presiding over the case challenging the termination of the agreement by authorities.
The Madras High Court heard a petition filed by Celebi Airport Services India, which is contesting the termination of its contract.
The company sought legal recourse following the end of its agreement, allegedly due to security concerns.
Justice Abdul Quddhose is presiding over the case.
Senior Advocate P.S. Raman represented Celebi. During the proceedings, he informed the court that similar cases are also being heard in other High Courts.
The Airports Authority of India (AAI) informed the Madras High Court that it needs to hire a ground handling and cargo operator at Chennai airport to replace Turkish firm Çelebi Airport Services India, whose contract was recently terminated due to national security concerns.
The AAI explained to Justice Abdul Quddhose that the Chennai airport requires three ground handlers to maintain smooth operations.
However, the authority noted that any tender for this position would explicitly depend on the outcomes of the ongoing litigation initiated by Çelebi in the High Courts of Delhi and Madras.
Çelebi has challenged the termination of its contracts with Indian airports and the revocation of its security clearance to operate in India.
This clearance was revoked by the Bureau of Civil Aviation Security (BCAS) after Turkey openly supported Pakistan during a recent four-day conflict between India and Pakistan. Çelebi has contested this decision in various High Courts, including those in Bombay and Gujarat.
Senior Advocate P.S. Raman, expressed concerns about the company’s software and equipment worth crores that are currently under the control of the airport authority. He warned that these could be transferred to a third party if a tender is issued to replace Çelebi.
He also pointed out that the Bombay High Court had previously granted interim relief to Çelebi in a similar case.
Senior Advocate P.S. Raman stated,
“Writ proceedings are pending before the different High Courts. Celebi equipment may be given to a 3rd party after its termination.”
Referring to directions issued in analogous cases, In response, Justice Abdul Quddhose inquired,
“You want a similar order?”
Raman confirmed the request by replying,
“Yes Mylord.”
However, Solicitor General of India Tushar Mehta, who appeared on behalf of the Airports Authority of India, opposed the plea by highlighting the distinct circumstances in the present case.
He stated,
“The matter here is different than the HC.”
Explaining further, SG Mehta said,
“The Bombay airport operations are managed by a private operator (Adani Group), Chennai regulations require three ground handling agencies. Since security clearance was denied to Celebi, authorities must now appoint a third-party service provider.”
Additionally, Çelebi has filed a separate writ petition challenging the revocation of its security clearance, for which a notice has been issued.
This matter is scheduled for a hearing on June 24.
Similar writ proceedings regarding Çelebi’s operations at the Delhi International Airport were recently heard by the Delhi High Court, which has reserved its verdict.
The original suit in the Madras High Court is set to be heard next on July 7.
Additional Solicitor General of India A.R.L. Sundaresan also represented the AAI during the proceedings.
The case revolves around the denial of security clearance to Celebi, following which the authorities are now looking to assign its duties to another service provider.
Case Title: Celebi Ground Services Chennai Private Limited v. Airports Authority Of India