Mallya’s Company Offered Rs 14,000 Crore In Supreme Court

Mallya’s company offered Rs 14,000 crore in Supreme Court. United Breweries (Holding) Ltd, a company of fugitive liquor businessman Vijay Mallya, told the Supreme Court that it was ready to give Rs 14,000 crore to various Indian banks to repay the dues. The company also said that its total assets exceed the debt owed to it.

Senior advocate CS Vaidyanathan, appearing for Mallya’s company United Breweries before a division bench of Justices UU Lalit, Vineet Saran, and R Ravindra Bhat, said they had received the banks’ reply.

He said that since the calculation found that the total assets of the company are more than the outstanding debt on it, the company cannot be directed to wind up its operations. Advocate CS Vaidyanathan said that since the Enforcement Directorate (ED) confiscated many of his assets, these assets cannot be handed over to banks either.

Mallya’s lawyer also said in the apex court that the outstanding amount on his client is Rs 6,203 crore but the price he has paid to the banks in return is Rs 14,000 crore. While the money has been raised only to the tune of Rs 430 crore. Vaidyanathan also said that the ED has not really seized Fugitive liquor businessman’s property since 2009.

The lawyer said that the guarantor is the petitioner but the debt was taken by Kingfisher and others. United Beverages made these arguments before the Supreme Court while challenging the Karnataka High Court’s order to wind up the functioning of the company.

It is worth mentioning that Mallya took a loan of nine thousand crores from banks for his closed airline company Kingfisher. He escaped from India in 2016.

Mallya is accused of not intentionally repaying the loans of banks. Let me tell you that the Treaty of Accession was signed between India and Britain in 1992 which came into effect in November 1993. Under this, the Government of India is also making efforts to extradite Malaya.