The State government on Friday filed an application in the High Court seeking to stay all further proceedings in pursuance to the Union government’s order approving grant of lease/concession on right of operation, management, and development of Thiruvananthapuram International Airport to Adani Enterprises Ltd.
The government said the Supreme Court had set aside a judgment of the High Court dismissing the government’s writ plea against the Airport Authority of India’s (AAI) ‘Request for Proposal’ to grant the right of operation, management, and development of the airport to the Adani Group. The Supreme Court while passing the verdict had sent back the matter to the High Court for considering the government’s challenge on merit.
However, during the pendency of the writ petition, the Centre had approved the lease in favour of the Adani Group. The State government had substantial proprietary and other rights over the land on which the airport was built. Besides, as the grant of lease/concession had been approved when the matter was sub judice, the balance of convenience was in favour of the government.
Earlier plea
The High Court, while dismissing the government’s earlier plea, had observed that the dispute was between the State of Kerala and the Union government. Only the Supreme Court, and not high courts, had jurisdiction in such Centre-State disputes. Kerala should have directly filed a suit under Article 131 in the Supreme Court, the High Court had observed.
In its writ petition, the government had opposed the attempt of the AAI to lease the airport to Adani Enterprises Ltd. which had no previous experience in managing airports. The government contented that the move was not in public interest and violated the provisions of the Airports Authority of India Act and the proprietary right of the State government over the airport land.
‘Centre breaks promise’
The petition pointed out that the Centre had assured the State in 2003 that taking into account the contribution made by the State for acquiring additional land for the airport, the State government would be consulted when a decision to privatise the management of the airport was taken. This assurance had been violated.
The Union government had also declined the request of the State to transfer the operation of the airport to the government, which could form a special purpose vehicle and tie up with a partner with proven credentials in airport management. In fact, the State government had a preferential rights to get the contract in public interest.