Supreme Court issues notice to Vijay Mallya on banks' plea for not disclosing assets
 Source : News Bharati English  Date : 25-Jul-2016

New Delhi, July 25: The Supreme Court on Monday issued a notice to Vijay Mallya on a contempt petition brought by a consortium of banks for non-disclosure of assets. A bench comprising justices Kurian Joseph and Rohinton F. Nariman also extended time for the debt recovery tribunal to complete hearings in the loan default case.

The banks have alleged that he has not given full details of his assets. The court also gave time to the Debt Recovery Tribunal to complete hearing in the Mallya loan default case. Currently, Mallya is residing in London and has been evading ED summons, which is investigating fund diversion by Kingfisher Airlines.Also, a consortium of banks, led by the State Bank of India, on July 15 had moved the Supreme Court, alleging that Mallya has not given complete details of his assets as directed, hence seeking initiation of contempt proceedings against him. Also, in a huge relief to bankers, the Apex Court on Monday sought reply from Mallya within four weeks.

On 7 April, Mallya had been directed by the court to disclose all assets held by him and his family, after a consortium of creditors spurned his offer to repay Rs.4,000 crore to settle the debts of his grounded Kingfisher Airlines Ltd. Mallya had been directed by the apex court this April to disclose all assets held by him and his family, after his creditors rejected his offer to repay 4,000 crore rupees to settle the debts of the grounded Kingfisher Airlines. Mallya had agreed to disclose a list of assets held by him in India.

However, he said that he will make the declaration to the Supreme Court and requested the apex court to not pass on the information regarding his India assets to banks. Mallya is under probe from both the Enforcement Directorate and the Central Bureau of Investigation for a 9,000 crore rupees loan scam. A consortium of banks had moved against Kingfisher Airlines Ltd in 2013 for defaulting on loans.