Mallya goes idiomatic as sale of United Breweries' shares fetches Rs 1008 crores

Last Updated: Thu, Mar 28, 2019 12:52 hrs
Vijay Mallya (PTI image)

Vijay Mallya, once hailed liquor baron, may have been left frustrated with the recent spate of developments related to his stake in United Breweries.

The Enforcement Directorate on Wednesday claimed that it sold nearly 74 lakh shares owned by the on-the-run businessman. The shares fetched the debt recovery tribunal an amount of Rs 1,008 crores.

The shares were reportedly pledged to Yes Bank by Mallya against a loan for the defunct Kingfisher Airlines. With no money coming in, and the once business tycoon not in sight, recovery agencies sold off the shares to recover their money.

According to unverified news reports, the private bank had been repaid most of its money back, but only a small margin had been left out.

The ED with an intention to secure shares and to prompt Mallya to return had approached a PMLA (Prevention of Money Laundering Act) court in Mumbai. Mallya via his associates tried restraining the stake sale by approaching a special court. However, the special court on Tuesday ruled in favour of recovery agencies in light of the large amount to be recovered.

With news soon spreading that the recovery was made, Mallya went idiomatic on Twitter.

"Damned if you do and Damned if you don't is how I am treated," was what Mallya expressed hinting to an offer that he had made to PSU banks.

A week back, Mallya had tweeted that he had invested over 4000 crores into Kingfisher Airlines to save the Company and its employees. "Not recognised and instead slammed in every possible way. The same PSU Banks let India's finest airline with the best employees and connectivity fail ruthlessly. Double standards under NDA," is what he claimed.

Mallya has claimed that he had made offers to PSU banks for the full recovery. In fact, he also claims that PSU banks including State Bank of India could accept the money he was offering and bail-out Jet Airways from its current situation.

Meanwhile, a Delhi court ordered attachment of Mallya's properties in Bengaluru under section 83 of the Code of Criminal Procedure in connection with a FERA (Foreign Exchange Regulation Act) violation case, and fixed the next date of hearing as July 10.

With the UK courts and Home Secretary agreeing to extradition, Mallya's case seems to have almost reached a dead end. UK's Home Secretary on 4 Feb signed an order approving that Mallya will be extradited to India to face trial for alleged fraud and money laundering amounting to Rs. 9,000 crore. "Vijay Mallya is accused in India of conspiracy to defraud, making false representations and money laundering offences," the order said.

On the order, Mallya tweeted nearly a month ago, "After the decision was handed down on December 10, 2018 by the Westminster Magistrates Court, I stated my intention to appeal. I could not initiate the appeal process before a decision by the Home Secretary. Now I will initiate the appeal process."