HC halts Mumbai airport from hiring Celebi’s replacement

Interim relief granted to Turkish ground handling firm until its case challenging its contract termination is heard

MUMBAI: The Bombay high court on Monday granted interim relief to the Indian subsidiary of the Turkish ground-handling firm Celebi Aviation Holding by issuing directions to the Mumbai International Airport Limited (MIAL) to not take any decision in extending tenders to appoint a new company in its place. The temporary relief is to remain till the challenge against its security clearance revocation is heard before a regular bench after the vacation.

Mumbai, India - Oct. 17, 2024: MumbaiAirport closed for 6 hours, Operations temporary closure of flight operations scheduled between 11 AM and 5 PM is required for maintenance work on the airport's two cross runways, RWY 09/27 and RWY 14/32 in Mumbai, India, on Thursday, October 17, 2024. (Photo by Satish Bate/ Hindustan Times) (Hindustan Times)

The firm on May 22 had filed three petitions in the court, challenging the Indian government’s revocation of its security clearance which resulted in the termination of its agreement at Mumbai’s Chhatrapati Shivaji Maharaj International Airport (CSMIA). The petition urged the court to issue directions to restrain the airport authorities from appointing a new company in its place.

The petition was filed days after the Adani Group-led MIAL, which operates CSMIA, terminated its agreement with Celebi and appointed the Kolkata-based firm Indo Thai Airport Services on a temporary basis for three months until it finalises a long-term partner.

CSMIA was among several airports across the country that terminated their agreements with Celebi earlier this month. This was after the Bureau of Civil Aviation Security (BCAS), India’s top aviation security regulator, revoked the Turkish firm’s security clearance, effectively barring it from continuing its operations in Indian airports. The decision, according to BCAS, was taken in view of “national interests”.

While the official reasons were not detailed, the move follows heightened diplomatic tensions. Turkey recently backed Pakistan and condemned India’s counter-terrorism strikes in Pakistan and Pakistan-Occupied Kashmir following the Pahalgam terror attack in April.

In response to the revocation, Celebi’s Indian subsidiary issued a statement distancing itself from political or national affiliations. “We are not a Turkish organisation by any standard and adhere fully to globally accepted practices of corporate governance, transparency and neutrality, with no political affiliations or links to any foreign government or individuals,” the company said.

Celebi filed three separate lawsuits, two of which challenged MIAL’s revocation of its contract on the grounds of security clearance. The third plea is filed against BCAS, which states that the agency’s decision was procedurally erroneous.

On May 16, Celebi had filed a similar petition in the Delhi high court, even as aviation officials said that airport operations nationwide continued without disruption as alternative arrangements were implemented. In its plea, the company said that BCAS’s decision to revoke its clearance by merely citing national security, without specific justification, was “vague” and “unsustainable in law”.

Celebi Aviation has had a significant presence in India’s aviation sector. Since entering the Indian market via Mumbai Airport, the company has expanded to nine airports across the country. These include major hubs such as Mumbai, Delhi, Bengaluru, Hyderabad, Chennai, Cochin, Kannur, Goa, and Ahmedabad. The firm’s Indian operations cover a wide range of services, including passenger assistance, flight operations, cargo handling, warehouse management and bridge operation services.