KFA withdraws plea in SC, banks to get Kingfisher House | business | Hindustan Times
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KFA withdraws plea in SC, banks to get Kingfisher House

The grounded Kingfisher Airlines on Monday withdrew its petition in Supreme Court against a Karnataka High Court verdict to allow a consortium of banks led by SBI to take possession of its prestigious property in Mumbai, Kingfisher House.

business Updated: Jul 22, 2014 00:12 IST
HT Correspondent

The grounded Kingfisher Airlines on Monday withdrew its petition in Supreme Court against a Karnataka High Court verdict to allow a consortium of banks led by SBI to take possession of its prestigious property in Mumbai, Kingfisher House.

The move clears the deck for the sale of the property, valued at Rs90-100 crore, to pay part of the airline’s Rs7,000-crore debt to the banks.

The matter came for hearing before a bench headed by Justice JS Khehar, and the company pleaded that the court allow it to withdraw the petition.

When contacted, the Kingfisher spokesperson said as it is a legal matter, he would need time to respond.

Karnataka High Court had on January 29 ordered that the banks be allowed to take possession of Kingfisher House. As part of the recovery process, the banks had in February last year decided to sell a portion of the collateral with them.

In addition to SBI, the consortium of banks comprises Axis Bank, Bank of Baroda, Bank of India, Central Bank of India, Corporation Bank, Federal Bank, IDBI Bank, Indian Overseas Bank, Jammu & Kashmir Bank, Punjab & Sind Bank, Punjab National Bank, State Bank of Mysore, UCO Bank and United Bank of India.