हिंदी समाचार पढ़े
Expand
O.P. Jindal Global University
 
Home / Corporate Law News / Vijay Mallya sent money from loans outside India, had no intention of repaying, reveals ED probe

Vijay Mallya sent money from loans outside India, had no intention of repaying, reveals ED probe

February 9, 2019:

UHBL arranged unsecured loans from entities such as Wave Group (Rs 188 crore), a Sahara Group company – SICCL (Rs 200 crore).

Mallya Gets Bail
Mallya Gets Bail

Absconding liquor baron Vijay Mallya had no intention of paying back loans of over Rs 5,500 crore to a consortium of banks even though creditors agreed to restructure debt for his Kingfisher AirlinesNSE -11.11 % (KAL) offering a lifeline to the now defunct airline.

Investigations into the financial mess at KAL undertaken by the Enforcement Directorate (ED) have revealed that Mallya’s intentions of not paying the banks post restructuring emerged as he did not push profit-generating United Breweries Holdings (UBHL) & other group companies to strengthen KAL by infusing capital.

Instead, an amount of Rs 3,516 crore was channelised through various dummy companies through a circuitous route as unsecured loan to KAL by UBHL. This further eroded the net worth of KAL as restructured principal loan amount itself stood at Rs 5,575.72 crore.

Interestingly, UHBL arranged unsecured loans from entities such as Wave Group (Rs 188 crore), a Sahara Group company – SICCL (Rs 200 crore). Thus, unsecured loan was arranged through a circuitous route obliterating the origin of the funds thereby increasing debt of KAL & eroding its viability further.

In its investigations, ED concluded that Mallya did not have the intention to pay for loans taken by him as debt was being added to loss-making KAL & he, with UBHL, also challenged invocation of personal guarantee on loans given by the two in the Bombay High Court. In fact, the agency officials say, criminal conspiracy was hatched for obtaining & restructuring loan to KAL & they had no intention to repay loan ab initio.

The investigations have also tracked the money trail of loans given to KAL & have revealed that a major portion of loans given to the airline has been remitted outside the country & falsely shown as expenses on account of operational expenses or lease rentals.

A total of over Rs 3,200 crore of loans given to KAL by State Bank of India (SBI), Punjab National BankNSE -5.88 % (PNB) & Axis BankNSE -1.47 % was remitted outside the country towards aircraft rental leasing & maintenance, spare parts but investigations have found huge variations in the payments, especially towards lease rentals even for the same kind of aircraft for the same period of time.

As repeated reminders to KAL to furnish supporting documents for lease rentals did not elicit any action, ED concluded that bank loans obtained were siphoned abroad under the ruse of lease rentals in a “calculated & pre-designed” manner.

Post restructuring of loan in 2010 the principal outstanding for KAL fell from just over Rs 6,000 crore to Rs 5,575.72 crore. This amount further reduced RS 4,930.34 crore in December 2010 as banks such as SBI realised some amount by selling a portion of shares pledged to the consortium of banks of the shares.

Source Link

Facebook Comments

 
Related tags :
 
State of Two Nations State of Two Nations               pic by sandeep

Hindu

TOI

If India takes One Step, we will take Two by Satish If India takes One Step, we will take Two ...................by Satish TOI Pic by Hindu Women Empowerment and Sports Women Empowerment and Sports [caption id="attachment_97474" align="alignleft" width="621"]Donald Trump’s immigration ban Donald Trump’s immigration ban[/caption] Auto Driver thrashed for no fault Auto Driver thrashed for no fault,                  source oneindia

TOI

TOI

State of Affairs Women Safety: State of Affairs             pic by mangal

IBN IBN

...as an eminent lawyer you ought to know that your action tantamount to, under Section B, sub-section G.VIX, read along with I.P.C. (A) XI (B), notwithstanding...                                        TOI

Hindu

Hindu

TOI Demonitisation Diaries 1 Demonitisation Diaries 1                                  pic by sify  

Hindu

Hindu Soaring of Oil Prices pic by indiaone [caption id="attachment_97462" align="alignleft" width="524"]Painting India Saffron Painting India Saffron[/caption] TOI Hindu Hindu

TOI

Four Pillars of Democracy Four Pillars of Democracy             by Satish Humour @ Latest Laws Achhey Din Humour @ Latest Laws: Achhey Din TOI Hindu Hindu Hindu 150425_-_farmers_a_2384764f

Hindu

TOI

Missing the Point Missing the Point pic by english blog

Hindu Hindu

Hindu

TOI

Tax Reforms    by Hindu Tax Reforms by Hindu

Hindu

Belts are for Dogs Belts are for Dogs Delivery Boy Delivery Boy                    by Satish

TOI

America First Walk Your own Talk Alligator vs Litigator Alligator vs Litigator Hindu Job Hazards Hindu [caption id="attachment_97467" align="alignleft" width="621"]Humour with Latest Laws Humour with Latest Laws[/caption] Lawyers Bearing the Burden Literally Lawyers Bearing the Burden Literally pic by OMG

Hindu

Demonitisation Diaries Demonitisation Diaries                                                       by sify Acheche DIn Acheche Din     pic by sify Let Justice Be Let Justice Be State of JudiciaryState of Judiciary by Sandeep Adhwaryu of TOI Cartoon Hindu TOI

Hindu

TOI

Hindu Hindu

Demonitisation Diaries 2 Demonitisation Diaries 2  pic by sify

Hindu

ALL_1_Theme_01A_24_2383617g

Hindu

[caption id="attachment_97477" align="alignleft" width="621"]UIDAI Leaks UIDAI Leaks[/caption]

TOI

Time to straighten up Time to straighten up                pic by TOI TOI

pinterest

 
 
 

Check Also

Malvinder Singh and Shivinder Singh

Malvinder files Life Threat complaint against brother Shivinder and spiritual Head of the Radha Soami Satsang

February 17, 2019: The relationship between the Singh brothers, erstwhile promoters of Fortis Healthcare, went sour after allegations of fund diversion from the healthcare chain emerged. Former Fortis Healthcare promoter Malvinder Singh has filed a criminal complaint against his brother ...

Leave a Reply

Your email address will not be published. Required fields are marked *