Mallya faces fresh money laundering chargesheet, fugitive tagJune 17, 2018 17:41
In more trouble for liquor baron Vijay Mallya, the Enforcement Directorate is set to soon file a fresh chargesheet against him and his companies on charges of money laundering and allegedly cheating a consortium of nationalised banks to the tune of Rs 6,027 crore, officials said today.
With this charge sheet (also known as the prosecution complaint), official sources told PTI, the central probe agency will immediately seek from a court permission to "confiscate" more than Rs 9,000 crore worth assets of the beleaguered businessman and his firms under the recently promulgated Fugitive Economic Offenders Ordinance.
The ED last year had filed its first chargesheet against Mallya, now in London, in the about Rs 900 crore IDBI bank-Kingfisher Airlines alleged bank loan fraud case.
It has attached assets worth Rs 9,890 crore in this case till now.
The forthcoming charge sheet will revolve around the complaint received from the State Bank of India (SBI) on behalf of the consortium of banks for causing loss of Rs 6,027 crore to them by not keeping repayment commitments of his loan (by Mallya firms) taken during 2005-10, they said.
The ED has based its investigation in this instance after taking cognisance of a CBI FIR and the charge sheet will be filed before a special court in Mumbai under the Prevention of Money Laundering Act.
It was alleged that SBI and its consortium banks had advanced various credit facilities to KFA Limited during the period between 2005 and 2010.
During 2009-10, the company failed to meet its repayment commitments to the bank from whom it had availed credit facilities and the airlines did not keep its account with the consortium banks regular which became NPA (non performing asset), the CBI FIR had stated.
The consortium banks, therefore, recalled credit facilities and also invoked corporate guarantee of UBHL (United Breweries Holdings Limited) and personal guarantee of Mallya, it had alleged.
It was alleged that there was a conspiracy among group companies promoter and unknown others to cheat the lenders, the CBI had said. -- PTI