Turkish firm Celebi's subsidiary moves Bombay HC against security clearance revocation

In Delhi high court, the Centre pointed to “intelligence inputs” that indicated potential risks connected to the Turkish firm's operations

Turkish firm Celebi Aviation’s subsidiary moved the Bombay High Court on Thursday to challenge security clearance revocation and contract termination at the Mumbai airport by India's civil aviation regulator, the Bureau of Civil Aviation Security (BCAS).

Mukul Rohatgi, who appeared for Celebi, said public perception could not be a ground to take away the employment of 14,000 employees and Celebi was not a “rogue company”(Photo courtesy: celebiaviation.com)

The BCAS revoked security clearance for Turkish company Celebi Airport Services India Pvt Ltd on May 15, citing “national security” concerns. The move follows mounting tensions between India and Turkey over the latter’s diplomatic and arms support to Pakistan during the four-day military clash with India post the Pahalgam terror attack on April 22.

Three petitions were filed on Wednesday by Celebi Nas Airport Services India, which handled airport ground handling services at the Mumbai International Airport Limited (MIAL). The parent company holds a 59% stake in its subsidiary.

The plea submitted that the civil aviation regulator's move was “arbitrary and illegal” and sought that it be set aside. It also sought the annulment of the administrative decision by the BCAS, which comes under India's Ministry of Civil Aviation.

It also sought the annulment of the terminations of the Bridge Mounted Equipment Service Agreement and the Concession Agreement, and Ground Handling Services by MIAL.

Seeking interim relief, the subsidiary sought to restrain Mumbai airport from selection of a new ground handling agency, for which tenders were issued by the operator on May 17.

Plea in Delhi HC

Two other Celebi subsidiaries – Celebi Airport Services India and Celebi Delhi Cargo Terminal Management India – had moved a separate petition in the Delhi High Court challenging the Centre's move. The firm alleged that security clearances were revoked without any prior notice or hearing, violating the principles of natural justice.

During a hearing on Monday, solicitor general Tushar Mehta, appearing for the Centre, defended the revocation of Celebi’s security clearance. He pointed to “intelligence inputs” that indicated potential risks connected to the Turkish firm's operations, especially in managing both passenger and cargo aircraft.

Addressing concerns on lack of transparency, Mehta claimed that revealing confidential security details could harm “national interests”. 

BCAS's revocation also applies to other associate entities of Celebi in India. This prompted Indian airports, where Celebi operated, to terminate their contracts with the Turkish group companies.