The Delhi High Court is currently hearing a case involving the Centre's decision to revoke the security clearance of Turkey-based Celebi Airport Services India Pvt Ltd, a ground handling firm operating at several major Indian airports. The core of the government's argument, articulated by Solicitor General Tushar Mehta, is that the decision was taken in the interest of national security, based on inputs suggesting that allowing Celebi to continue its operations would be hazardous.
The Bureau of Civil Aviation Security (BCAS), under the Ministry of Civil Aviation, issued the order revoking Celebi's security clearance. This action followed heightened tensions and reports indicating that Turkey had backed Pakistan and condemned India's strikes on terror camps.
Celebi, represented by senior advocate Mukul Rohatgi, is contesting the revocation, arguing that the decision was based on "public perception" rather than concrete evidence of wrongdoing. Rohatgi emphasized that Celebi has been operating in India for 17 years with a clean record and employs 14,000 people. He argued that the revocation was carried out without providing the company an opportunity for a hearing or disclosing specific reasons, and that the order was vague and unsustainable in law. Celebi has stated that it is "truly an Indian enterprise" led and managed by Indian professionals and adheres to global standards of corporate governance. The company also refuted allegations about its ownership and operations in India.
The Centre maintains that disclosing the reasons behind the BCAS order would be counterproductive and prejudicial to national interest, sovereignty, and security. Solicitor General Mehta presented Justice Sachin Datta with a sealed document containing the inputs that led to the decision.
Justice Datta has raised critical questions about the court's purview in reviewing national security decisions and whether serving a prior notice is mandatory in such circumstances. The court has adjourned the matter until May 21 for further hearing.
This situation raises several important questions about balancing national security concerns with the rights and interests of businesses operating within a country. The government's emphasis on "better safe than sorry" reflects a precautionary approach, prioritizing the protection of national interests even if it means disrupting established commercial relationships.
The revocation of Celebi's security clearance has already had significant operational and financial consequences. Celebi provided ground-based services at nine airports across India, including major hubs like Delhi, Mumbai, Ahmedabad, Bengaluru, Hyderabad, Cochin, Kannur, Chennai, and the MOPA airport in Goa. The company managed passenger services, load control, flight operations, ramp services, cargo and postal handling, and warehouse operations. The decision has led to job losses and has negatively impacted investor confidence. The company's stock price has also crashed nearly 20% in 2 days.
Indothai, an Indian firm, has already taken over ground handling operations at Mumbai Airport.
The Delhi High Court's decision will have far-reaching implications, not only for Celebi but also for other foreign companies operating in India's sensitive sectors. The court's ruling will likely set a precedent for how national security concerns are balanced against the principles of due process and fair treatment in similar cases in the future.
