CNBC-TV18 on Tuesday reported that Mallya has been produced in a local court in the UK and will soon be handed over to India.
Mallya, however, later tweeted that the whole arrest issue was "the usual Indian media hype" and that it was only the scheduled court hearing on extradition that had taken place:
Mallya has avoided several summon notices from Indian courts.
No high-profile extradition has taken place from the UK to India since a treaty was signed in 1993, though India has extradited a number of Britons, including Maninderpal Singh, convicted of raping and murdering a British teenager, who had fled to India.
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