ED attaches Mallya, UB’s properties worth Rs 1411 cr

Mumbai: A Special Prevention of Money Laundering Act ( PMLA) court on Friday concluded its hearing in a case pertaining to liquor baron Vijay Mallya, in which the Enforcement Directorate had urged the court to declare the absconding tycoon a “proclaimed offender”.

Therefore, properties equivalent to Rs807 crore – the unpaid loan amount out of Rs864 crore extended to Kingfisher Airlines against collateral security of Kingfisher brand, corporate guarantee of UBHL and personal guarantee of Mallya despite weak financials – which has present market value of ‘1,411 crore was provisionally attached.

The attachment includes, 3-4 properties in UB City, Bengaluru- (commercial and a residential tower) and one residential apartment in south Mumbai.

“Mallya has held a number of movable and immovable properties in India as well as outside India through his various companies established by him through his office personnel and which were directly or indirectly controlled by him”, he said.

ED also approached the court seeking that Mallya be declared a Proclaimed Offender.

Separately, the agency is also set to attach his properties worth about Rs 1,400 crore under PMLA.

The agency has registered a money laundering case against Mallya and others based on an FIR registered a year ago by the CBI. Further it has also been stated that despite notices being served Mallya has failed to respond and has not once turned up before the investigating agency.

Mallya had left India on March 2 using his diplomatic passport. It emerged during the investigation that from very beginning Kingfisher Airlines Ltd defaulted in repayment of loan thereby putting the IDBI Bank to a wrongful loss. Sources in the ED said neither Mallya nor his legal team have communicated with them as yet.