April 19, 2016
A court on Monday issued a warrant for the arrest of tycoon and lawmaker Vijay Mallya, who has left the country with creditors stepping up pressure to recover about $1.4 billion owed by his defunct Kingfisher Airlines.
The latest court verdict came after the Enforcement Directorate, a government agency fighting financial crime, accused Mallya’s UB Group of using 4.3 billion rupees ($65 million) of bank loans to Kingfisher Airlines to buy property overseas.
Mallya, a liquor baron and a lawmaker, has been at an unknown location after leaving India on March 2. Media reports have traced him to the Hertfordshire village of Tewin, north of London, where he owns a house.
The UB Group on Sunday denied the Enforcement Directorate’s allegations, calling the basis of the warrant against Mallya “erroneous and unjustified”. Mallya, a member of the Rajya Sabha who co-owns Britain-based motor racing team Force India, has not revealed his whereabouts since his departure on March 2, but has said he has not absconded.