How has Indian govt taken double of the debt: Vijay Mallya hits back

Fugitive liquor baron Vijay Mallya questions excess recovery claims, seeks relief from authorities

Retaliating against Finance Minister Nirmala Sitharaman's claim of having recovered assets worth Rs 14,131.6 crore, fugitive liquor baron and former member of parliament (MP), Vijay Mallya said on Wednesday that he is entitled to relief and that the agencies should legally justify how they have taken more than two times the debt he owed.

 

“The Debt Recovery Tribunal adjudged the Kingfisher Airlines (KFA) debt at Rs 6,203 crores including Rs 1,200 crores of interest. The FM announced in Parliament that through the Enforcement Directorate (ED), Banks have recovered Rs14,131.60 crores from me against the judgement debt of Rs 6,203 crores and I am still an economic offender. Unless the ED and Banks can legally justify how they have taken more than two times the debt, I am entitled to relief which I will pursue,” Mallya posted on social media platform X (formerly Twitter).

 

Sitharaman had informed the Lok Sabha earlier on Tuesday that Rs 14,131.6 crore was recovered by public sector banks (PSBs) from the sale of assets belonging to Mallya as part of the government’s ongoing efforts to address financial crimes and restore funds to affected entities. 

 

Mallya had fled India in 2016 amid allegations of financial irregularities related to Kingfisher Airlines. The Indian government has been seeking his extradition from the United Kingdom to face trial here. His assets, seized under the Prevention of Money Laundering Act (PMLA), have been liquidated to recover dues owed to banks and other creditors.

 

Addressing the Lower House, FM reaffirmed the government’s commitment to pursuing economic offenders, including those who have fled the country. “We have gone after them. The ED has collected this money and given it back to the banks,” she said.  Other high profile absconding businessmen whose extradition India is seeking over their financial crimes include diamantaires Mehul Choksi, who is currently in Antigua and Barbada, and Nirav Modi, who is in jail in London while fighting extradition orders.