Attaching ₹140 billion assets over ₹62 billion debt 'incredible': Mallya on being declared bankrupt

WION Web Team
NEW DELHI Published: Jul 27, 2021, 12:41 PM(IST)

File photo of Vijay Mallya Photograph:( Others )

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On July 26, the London High Court declared fugitive Indian businessman Vijay Mallya bankrupt, in a major victory for Indian banks

Following the declaration of Vijay Mallya as "bankrupt" by the UK High Court, the fugitive businessman claimed that the Enforcement Directorate is seizing assets "worth ₹140 billion at the behest of government banks against a debt of ₹62 billion."

Mallya tweeted that the SBI-led consortium of banks had asked "court to make me bankrupt as they may have to return money to the ED," which he described as "incredible." 

Also read | UK court declares Vijay Mallya bankrupt, allowing Indian Banks to pursue recovery

"ED attach my assets worth 14K crores at behest of Govt Banks against debt of 6.2K crores.They restore assets to Banks who recover 9K crores in cash and retain security over 5K crores more.Banks ask Court to make me Bankrupt as they may have to return money to the ED. Incredible," he tweeted.

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On July 26, the London High Court declared the fugitive Indian businessman bankrupt, in a major victory for Indian banks.

This will clear the way for the group of Indian banks led by the State Bank of India (SBI) to seek a worldwide freezing order to seize Mallya's Indian assets in order to recover debt owed by his now-defunct Kingfisher Airlines.

"As at 15:42 (UK time), I adjudicate Dr Mallya bankrupt," Chief Insolvencies and Companies Court (ICC) Judge Michael Briggs said in his ruling during a virtual hearing of the Chancery Division of the High Court in London.

The Indian banks, represented by the law firm TLT LLP and barrister Marcia Shekerdemian, had argued for the bankruptcy order to be granted in favour of the Indian banks.

(With inputs from agencies)

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