Indian Assets Set To Slip Away, Vijay Mallya Anxious To Return: Sources

Absconding tycoon Vijay Mallya wants to return to India and has been sending feelers continuously for the last two months, sources in investigating agencies have told NDTV. Officials say the tycoon, who has extensive property in India which has been attached by the investigative agencies, wants to keep a way open to regain control over it. Vijay Mallya has so far opposed the government's efforts to extradite him, arguing that the condition of Indian prisons do not have light or fresh air.

Under a new law, property confiscated from fugitive offenders is gone for good. "All his properties are attached and if the court decides to confiscate his properties, then under the new Fugitive Economic Offenders law, properties once seized cannot be released," explained a senior official in Finance Ministry, trying to explain why the fugitive is so keen to come back.

According to him, ownership of the seized properties will be shifted to government, which can use the money to compensate the victims.

Vijay Mallya, his now defunct Kingfisher Airlines and others availed loans from various banks. The outstanding amount, including interest, is Rs 9,990.07 crore, officials had said while filing the plea under the new law.

Another fact which went against him is the decision of Debt Recovery Tribunal, which recently passed an order that Vijay Mallya needs to pay Rs 6,203 crore to the government and a simple interest of 11.5 per cent would be charged on the amount.  So he owes government about Rs 9,000 crore.  

The Enforcement Directorate (ED) has seized properties worth around Rs 13,500 crore.

On Monday, half-a-dozen defenders filed a plea in a Mumbai court. "They claim they have a stake in the case and want to become party to it. The court has adjourned the matter to September 3," a senior official of the agency told NDTV.

According to him, when they investigated the case, they did not find stake of these contenders but now that they have filed an application in court, the matter would have to be heard.

The stakeholders who approached the court include official liquidator of a company called DGIO and LKIP Finance and private entity Ritu Mallya. "They want to contest the case regarding the properties attached," the officer explained.

The businessman is currently contesting his extradition case in London filed by the Indian government on behalf of the CBI and ED. The case will be heard next by the London court on September 12.  "The court will hear and reserve judgment and hopefully it will go in our favour," another officer said.