Bombay HC Grants Interim Relief to Çelebi, Stays MIAL Bidding Process
In interim relief to Turkish aviation firm Çelebi, the Bombay High Court on Monday, May 26, stayed Mumbai International Airport Ltd (MIAL) from concluding the bidding process to replace the company for ground and bridge handling services.
A vacation bench led by Justice Somasekhar Sundaresan granted the interim relief to the firm, adding that the order will remain in force until the matter is heard by the regular bench after court vacations.
The court was hearing a plea filed by the Turkish firm seeking urgent intervention under Section 9 of the Arbitration and Conciliation Act against the termination of its contract.
The dispute arose after the Bureau of Civil Aviation Security (BCAS) revoked the security clearance of Çelebi Airport Services India Pvt. Ltd. on May 15, 2025, citing national security concerns.
Turkey-based airport ground handling company Celebi’s Indian arm, Celebi Nas Airport Services India, has filed three separate petitions in the Bombay High Court challenging the revocation of its security clearance and the subsequent termination of its contracts with Mumbai International Airport Limited (MIAL).
The petitions question the legality and fairness of the Centre’s decision to revoke the security clearance issued by the Bureau of Civil Aviation Security (BCAS). Celebi Nas contends that the decision was made abruptly, without prior notice or an opportunity for hearing, thus violating principles of natural justice.
In addition to seeking to set aside the security clearance revocation, Celebi Nas has also moved arbitration proceedings against MIAL, disputing the termination of its contracts relating to ground handling services at Chhatrapati Shivaji Maharaj International Airport. The company claims that the terminations were unilateral and have severely impacted its business operations.
Parallelly, the matter is sub judice before the Delhi High Court, where Celebi Nas has argued that it is a private enterprise operating in India for over 17 years, employing thousands of Indian nationals and not controlled by the Turkish government. The company denies any security concerns raised against it.
On the other side, the Indian government, through its legal representatives, has maintained that the revocation of security clearance was necessitated by national security considerations. The government emphasized that it is empowered to act decisively in such matters and that prior notice or hearings are not mandatory where national interest is at stake.