Court rejects Mallya's plea to stay 'fugitive' proceedings

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Absconding liquor baron Vijay Mallya suffered a second setback within a week after a Mumbai Special Court on Thursday rejected his plea seeking a stay on the Enforcement Directorate (ED)'s request to declare him a 'fugitive' under the Fugitive Economic Offenders Act, officials said.

The development in the Special Prevention of Money Laundering Act (PMLA) Court came a week after the Bombay High Court (on November 22) dismissed a similar appeal filed by Mallya.

Among other things, the former chief of the now-defunct Kingfisher Airlines is wanted for committing alleged bank frauds of Rs 9,000 crore, and is currently holed up in the UK, fighting several cases.

On June 22, the ED had moved the Special PMLA Court to declare Mallya a 'fugitive economic offender' and confiscate all his properties, estimated at more Rs 12,000 crore, making it the first such case of its kind under the new FEOA law.

He was summoned by the Special Court to appear before it on August 27, but he failed to honour the court summons, besides other notices, summons and arrest warrants by the ED wanting to question him.

Mallya, 63, sneaked out of the country around March 2016, even as a consortium of 13 banks -- led by the State Bank of India (SBI) -- was preparing to initiate loan recovery proceedings against him.

Late last year, India filed extradition proceedings against him which he has contested and pending the final verdict in the case, he is currently on bail in London.

--IANS

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