Ever since the Indian government has been fast tracking Mallya’s case, Vijay Mallya has been caught in a fix and has trapped himself in UK courts. Just few days back, the UK court ordered the extradition of Vijay Mallya which has made him go bonkers. Just as the court pronounced the verdict, Mallya is trying his best to convince the Indian government and claiming to return back the money.
But now, the Indian government is in no mood to forgive Mallya and is all set to take stringent action against him. Now the UK court has further tightened the nose by ordering bankruptcy proceedings against him.
According to a report in Hindustan Times, Vijay Mallya is facing bankruptcy proceedings in a London court brought by the State Bank of India and 12 other lenders seeking to recover £1.145 billion extended as loans to Kingfisher Airlines that Mallya guaranteed.
The consortium led by the State Bank of India wants court to declare Vijay Mallya bankrupt as part of their efforts to seize his assets in the UK to recover the loans. However, the businessman is planning to contest the fresh petition which, according him, is “not sustainable”, the newspaper reported. Asked by The Sunday Times how he felt, Mallya replied: “Nothing different to what has been happening over the past four years since the (Indian) government began hounding me.” Earlier, it was reported that Vijay Mallya is set to lose his home in London as the UK court ruled in favour of Swiss bank UBS which had sought to seize the embattled liquor tycoon’s property over non-payment of loans.
The Indian banks had also sought seizing the property of Cornwall Terrace, overlooking Regent’s Park in central London, over the non-payment of a 20.4-million pounds mortgage loan. The High Court in London has ruled in favour of Swiss banking giant UBS to take possession of Vijay Mallya’s Central London house. The property was referred to in the UK High Court as a “high class home for Dr Vijay Mallya and his family members and United Breweries Group corporate guests”.
While a trial in the case has been set for May next year, the High Court ruled on the UBS’ application to strike out parts of the defence and found substantially in favour of the bank. “UBS is pleased with the decision. Given that proceedings are ongoing, it would be inappropriate to comment further,” UBS had then said.
Vijay Mallya who fled the country thinking that no one can touch him, has now been shaken with the action of Indian government. It is important that this man is brought to books and the loan amount be completely recovered.