Vijay Mallya offers to repay 100 percent of principal amount to bank

Fugitive businessman and liquor baron Vijay Mallya on Wednesday offered to pay back the full amount of the principal loan he owed various banks. It is to be noted that Vijay Mallya is being investigated for fraud and money-laundering by the Indian enforcement agencies.

In a tweet, Vijay Mallya said, “Airlines struggling financially partly becoz of high ATF prices. Kingfisher was a fab airline that faced the highest ever crude prices of $ 140/barrel. Losses mounted and that’s where Banks money went. I have offered to repay 100 % of the Principal amount to them. Please take it.”

This comes almost a week after Prevention of Money Laundering Act (PMLA) court dismissed Vijay Mallya’s plea seeking a stay on hearing of Enforcement Directorate’s (ED) application to declare him a fugitive economic offender.

Previously, the London High Court had asked Vijay Mallya to pay £88,000 to Swiss bank UBS as part of interim legal costs in a case filed by the bank seeking possession of his Baker Street house.

Importantly, Vijay Mallya has been fighting the extradition battle with the Indian government on allegations that he defaulted on loans worth Rs 9,000 crore given to now defunct Kingfisher Airlines by Indian banks.

He remains on bail on an extradition warrant executed by the Scotland Yard last year on fraud and money laundering charges. The verdict on the same is expected on December 10 at the Westminster Magistrate Court where Mallya has protested against the prison conditions at Arthur Road jail.

Also Read: PMLA court dismisses Vijay Mallya’s plea on removal of fugitive offender tag