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'Contrary to law': Celebi to Delhi HC on govt's decision to revoke security clearance

Senior Advocate Mukul Rohatgi asserted that Celebi's workforce consists of Indian nationals and that the firm is not politically affiliated with the Turkish government.

May 21, 2025 / 20:06 IST
Justice Sachin Datta-headed High Court bench is hearing Celebi's petition against the May 15 order.

Lawyers representing Celebi Aviation Services India on May 21 told the Delhi High Court that government’s decision to revoke Celebi's security clearance on grounds of "national security" was contrary to law, since there exists a statutory obligation to give a hearing before taking a drastic step like revocation of security clearance.

Appearing for Celebi Aviation, Senior Advocate Mukul Rohatgi told Justice Sachin Datta on May 21 that Celebi's security clearance, originally granted in 2022 under Rule 15 for a five-year term, was abruptly revoked without prior notice or a hearing, violating the principle of procedural fairness.

"This is a matter of grave importance. My contracts with airport operators are being cancelled," Rohatgi submitted.

He asserted that Celebi's workforce consists of Indian nationals and that the firm is not politically affiliated with the Turkish government. Rohatgi added that by revoking Celebi's security clearance, the Central government has put a guillotine on a company which has worked in India for 17 years and employs over 10,000 people.

Rohatgi argued that the lack of transparency surrounding the reasons for this decision, suggesting that the Turkish shareholding might have influenced the government's stance.

Justice Sachin Datta-headed High Court bench is hearing Celebi's petition against the May 15 order, which came shortly after Turkey publicly backed Pakistan and criticised India's strikes on terror camps, raising questions about whether the regulatory action was politically motivated. Rohatgi, however, confined his arguments to legal grounds and the procedural lapses in the government's decision.

Citing the evolution of aviation security regulations, Rohatgi argued that the legal framework has changed significantly since earlier precedents.

"Justice Kurian Joseph's judgment dealt with the Aircraft Rules of 1937, which are no longer applicable. There were new rules in 2011, and the current position is governed by Rule 12," he said.

In its plea, Celebi stated that its case is better as it was not served a notice before its security clearance was revoked, effectively cancelling its airport operations.

“Quash the case simply on the basis of non disclosure. I was handicapped, I had no documents, no intimation, nothing," the firm stated in its plea.

"You have violated every aspect of Rule 12, affecting my business and contracts, which are now facing cancellation. The Ministry of Home Affairs has removed us, leaving us with no recourse. The decision only targets the company, while the employees remain unchanged. I firmly submit that Rule 12 has not been properly applied," Rohatgi added.

While making his case, Rohatgi also objected to the Central government’s decision to provide the reasons only to the Court in a sealed cover.

“One feature I wanted to point out is what they showed in the sealed envelope, we do not know. I can only speculate what the reasons are. There is only one that the shareholding one my company is Turkish. I protest this sealed envelope procedure. It is frowned upon by the Supreme Court. My hands are tied,” Rohatgi argued.

When the bench inquired about the court’s ability to order disclosure of documents, Rohatgi replied: "If I had known about the accusation, some solution could have been found. If the problem is that some of the people are from Turkey, I'll replace those people. What more can I say?"

He also noted that Celebi does not operate any retail spaces or duty-free outlets.

"We handle passengers, luggage, and check-ins. What they've done now is shifted my 10,000 employees to work under other ground handlers. The employees are still there; it’s the company that's being thrown out," Rohatgi said.

Solicitor General Tushar Mehta appeared for the Central government and said that certain things cannot be shared with the company but only with the Court.

The hearing will resume on May 22 around 1530 IST.

On Monday (May 19), the Centre opposed Celebi Aviation’s plea, as Solicitor General Tushar Mehta argued the decision was taken in the interest of national security in light of certain inputs that continuing the services will be hazardous in the current scenario.

Celebi Airport Services India Pvt Ltd and Celebi Delhi Cargo Terminal Management India Pvt Ltd were overseeing ground handling and cargo terminal functions, respectively.

“I am saying that it is a national security issue and the order (revoking clearance) reflects the same," Mehta said. “Enemy can make 10 attempts and has to succeed in one. While security agencies have to succeed on all 10 occasions. National security based upon civil aviation security has to be placed on the highest pedestal."

Mehta handed over certain records to court in a sealed cover in support of his claims. He said giving reasons might be counterproductive and prejudice the sovereignty and security of the country.

He highlighted intelligence inputs indicating potential risks associated with Celebi's operations, particularly in the handling of both passenger and cargo aircraft.

Mehta justified withholding specific details, arguing that disclosing confidential security information could be detrimental to national interests.

Recently, Union Civil Aviation Minister Ram Mohan Naidu assured measures to protect affected employees and maintain stability in aviation operations. The Ministry reaffirmed that the security clearance was revoked to safeguard national security while ensuring uninterrupted airport operations.

Moneycontrol News
first published: May 21, 2025 08:06 pm

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