Turkish Company Çelebi Opposes Centre's Move Furnishing Reasons For Revocation Of Its Security Clearance To Delhi High Court In 'Sealed Cover'

Turkey based company Celebi Airport Services Private Limited on Wednesday told the Delhi High Court that it was neither given any notice nor an opportunity of being heard regarding the Bureau of Civil Aviation Security (BCAS) decision to revoke its security clearance in the "interest of national security".

Senior Advocate Mukul Rohatgi told Justice Sachin Datta that the Central Government has violated the principles of natural justice, while placing reliance on Rule 12 of Aircrafts Security Rules, 2023.

The Rule empowers the Director General to suspend the security clearance, after giving the entity an opportunity of being heard, and for reasons to be recorded in writing, for a period not exceeding one year or cancel the same where there are reasonable grounds to believe, in the interests of national security or civil aviation security or if the entity has contravened or failed to comply with any condition of security clearance or security programme or provision of these rules.

During the hearing today, Rohatgi said that there is a statutory requirement of giving the company an opportunity of hearing and that the Central Government cannot create exception to the Rule.

“The maker of Rule is not entitled to create exception to the Rule. It is not that I have a perception. You have to have reasons. Reasons to be recorded in writing rules out subjectivity,” he said.

“There is flexibility available. You have to record reasons. This is another requirement, that he has reasonable grounds to believe and that he considers the action necessary. Each requirement has to be satisfied. He has the power to do this provided he gives me opportunity of hearing. He can give me a show cause notice. He must record reasons, he must have apprehension. Atleast in the order there is nothing,” he added.

Rohatgi also “protested” to the Centre's move of giving to the Court the reasons disclosing revocation of security clearance in a sealed cover.

“Speculation can be only one, that the shareholding is of Turkish nationals. And I protest the procedure of keeping it in sealed cover. Keeping the other party in the dark,” he said.

The Court asked Rohatgi as to whether he was arguing that there is an indefeasible right of the company for the material or if he was not insisting on the material but was only wanting to know the same broadly.

To this, Rohatgi responded that the company should know the accusations against it and in case the same is known, the company could provide a solution which would pacify the situation.

“If the problem is that these citizens are Turkish, we will replace. What more can I say?” he said.

“That doesn't take us any far. You'll replace X persons, that doesn't make a difference. Let's confine to legal arguments,” the Court responded.

The matter will now be heard tomorrow when Centre will make submissions.

On Monday, Centre had opposed the plea saying that disclosure of reasons for revoking the security clearance may not only be counterproductive but will also seriously prejudice national interest and sovereignty and security of the country.

As per a report of Reuters, Celebi in its plea has argued that the decision would impact 3,791 jobs and investor confidence and that the same was issued without any warning to the company.

The Indian government revoked the security clearance of Celebi and its associated companies on grounds related to national security.

The plea states that mere rhetoric of national security without elaborating upon in what manner is an entity a threat to national security is unsustainable in law.

“The order "fails to disclose any specific or substantive reason except for a vague and general reference to 'national security'... (it) provides no reasons or justification," the plea read.

It further added In that while Celebi's shareholders were registered in Turkey, majority end control of the group is held by companies that do not have Turkish incorporation or origin.