 court in Mumbai has ruled that the banks that lent money to Vijay Mallya can liquidate his confiscated assets worth Rs 11,000 crore.){kind=link}
Banks that lent money to Vijay Mallya can liquidate his confiscated assets worth Rs 11,000 crore, the Special Prevention of Money Laundering Act (PMLA) court in Mumbai has ruled.
The court, however, stayed the ruling till January 18, allowing time for the affected parties to appeal to the Bombay High Court.
The accused owes more than Rs 6,200 crore to the banks, including the State Bank of India.
The Enforcement Directorate (ED) had told the PMLA court last February that it had no objection to the liquidation of the seized assets. However, the ED had asked the court to seek a guarantee from the banks that they would return the money to the court or the ED, in case Mallya wins the criminal trial.
Mallya is accused of cheating banks in India to the tune of Rs 9,000 crore. He had moved to the UK in March 2016, and is currently out on bail. His appeal against the extradition proceedings initiated by India is pending in the UK High Court.
In January 2019, the PMLA court had declared Mallya a fugitive economic offender, after the the Fugitive Economic Offenders Act was passed in 2018. The Act allows the confiscation of assets of economic offenders who evade prosecution by staying outside the jurisdiction of Indian courts.