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AAI seeks new handler at Chennai airport amid ongoing Çelebi's legal battle
The Airports Authority of India (AAI) informed the Madras High Court on Monday that it must appoint a new ground handling and cargo operator for Chennai International Airport, following the termination of Turkish firm Çelebi Airport Services India's contract over national security concerns.
Appearing before Justice Abdul Quddhose, Solicitor General of India Tushar Mehta said the airport requires a minimum of three ground handlers to maintain uninterrupted operations. With Çelebi's removal, the AAI is compelled to initiate a fresh tendering process to fill the operational gap, according to a report by Bar and Bench.
However, the AAI clarified that any new appointment would be provisional and subject to the outcome of ongoing legal proceedings initiated by Çelebi in both the Madras and Delhi High Courts.
The Turkish company is contesting the cancellation of its contracts at various Indian airports, as well as the underlying reason — the withdrawal of its security clearance by India's Bureau of Civil Aviation Security (BCAS).
Çelebi contract terminated over security concerns
The BCAS revoked Çelebi's clearance following geopolitical tensions, after Turkey expressed support for Pakistan during a recent four-day conflict with India. Çelebi has challenged this decision in multiple courts, including those in Bombay and Gujarat.
HC allows AAI to proceed with new appointment
The Madras High Court allowed the AAI to proceed with appointing a new ground handler, but only on a provisional basis, subject to the outcome of ongoing legal proceedings. The court permitted Çelebi to request an official inventory of its assets from the AAI. The court also ruled that either party could return to court if any of the undertakings, such as not using Çelebi's equipment or software, were violated.
In addition to the ongoing proceedings in Chennai, Çelebi has filed a writ petition specifically challenging the revocation of its security clearance. The matter is listed for hearing on June 24. A parallel case related to the company's role at Delhi International Airport is under consideration by the Delhi High Court, where judgment has been reserved.
The Madras High Court will resume hearing the original application concerning the Chennai airport contract on July 7.
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