ED moves court to declare Mallya proclaimed offender
The Enforcement Directorate (ED) has approached the special court for Prevention of Money Laundering Act (PMLA) to declare businessman Vijay Mallya a proclaimed offender and attach his properties. The court is scheduled to hear themumbai Updated: Oct 27, 2016 00:50 IST
The Enforcement Directorate (ED) has approached the special court for Prevention of Money Laundering Act (PMLA) to declare businessman Vijay Mallya a proclaimed offender and attach his properties. The court is scheduled to hear the application by next month.
On June 14, the designated court had issued a proclamation against Mallya, who is being investigated in the alleged laundering of Rs900 crore taken as loan from IDBI bank, for his Kingfisher airlines. With this proclamation, Mallya had to appear within a month.
The agency on Tuesday moved an application through their counsel Hiten Venegavkar.
The application alleged that inspite of having knowledge of the issuance of proclamation, Vijay Mallya deliberately and intentionally avoided to come before the court.
The application is now scheduled for hearing next month post Diwali vacation.
The central agency had initiated investigation in the money laundering case after the Central Bureau of Investigation (CBI) registered a case for defaulting the loan amount taken by Mallya-led M/s Kingfisher Airlines Ltd.
The ED revealed that the loan was sanctioned to M/s KAL against the collateral security of Kingfisher Brand, corporate guarantee of UBHL and personal guarantee of Mr Vijay Mallya, of which, Rs807 crore remained unpaid.
The ED has so far only provisionally attached movable and immovable properties, worth Rs1,411 crore, of both Mallya and M/s United Breweries (Holding) Limited, under PMLA.