Banks Reject Vijay Mallya’s Rs 4,000-Cr Settlement Offer Before SC

SC asks Mallya to disclose assets, asks his lawyers when Mallya is returning to India.

Updated
Business
1 min read
File photo of Kingfisher Airlines Chairman Vijay Mallya. (Photo: Reuters)

The SBI-led consortium of lenders rejected Vijay Mallya’s Rs 4,000-crore partial settlement offer, as was widely reported earlier. Lenders told the Supreme Court that the “proposal was rejected after full consideration.”

Banks told the apex court that they had also rejected a modified proposal received from the erstwhile liquor baron on Wednesday evening.

Kingfisher Airlines has sought two weeks’ time to come up with a fresh repayment proposal. The consortium has insisted that Vijay Mallya should personally negotiate with them on the proposal and a substantial amount should be deposited in the SC.

SC Asks Mallya to Disclose Assets

The SC also asked Mallya to disclose his personal assets and those of his wife and children and file a response, to that effect by 21 April. The apex court said that Mallya should deposit a substantial amount with the SC to prove his bonafides.

The next date of hearing in the Supreme Court has been scheduled for 26 April.

The Supreme Court asked Vijay Mallya’s lawyers to inform as to when he is coming back to India.

Also Read: Banks Want Vijay Mallya to Double Rs 4,000-cr Settlement Offer

The consortium of 17 banks are trying to recover over Rs 9,000 crore in dues stemming from loans taken by the now-defunct Kingfisher Airlines.

Earlier, Mallya had proposed a Rs 6,000 crore settlement out of which Rs 2,000 crore was tied up with another lawsuit. Of the Rs 4,000 crore offer proposed before the Supreme Court, Rs 2,000 crore was to be paid upfront and the rest subject to conditions. 

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