A special court in Mumbai has issued a non-bailable warrant (NBW) against Vijay Mallya, the fugitive businessman, in connection with a Rs 180-crore loan default case involving Indian Overseas Bank (IOB). The warrant, issued on June 29 by special CBI court judge SP Naik Nimbalkar, underscores Mallya’s status as a fugitive and aims to secure his presence in India.
The Central Bureau of Investigation (CBI) alleges that Mallya, a former promoter of Kingfisher Airlines, deliberately defaulted on payments, causing a wrongful loss of over Rs 180 crore to the government-run bank. This comes amidst ongoing efforts by Indian authorities to extradite Mallya from London, where he currently resides.
The case revolves around loans availed by Kingfisher Airlines from IOB between 2007 and 2012, which were allegedly diverted for purposes other than originally intended. The Reserve Bank of India facilitated a restructuring of these loans under a special provision for the aviation sector in 2010, according to the CBI.
In a recent development, the CBI filed a chargesheet in the court detailing allegations of loan diversion and false promises made by Mallya and others involved. The chargesheet claims a wrongful loss of Rs 141.91 crore due to loan defaults and an additional Rs 38.30 crore from loan conversions to shares.
The court, taking cognizance of the chargesheet, issued summons against Mallya and five other accused. However, given Mallya’s status as an absconder and fugitive in multiple legal cases, the CBI pressed for an NBW against him to ensure his presence during legal proceedings in India.
“This is a fit case to issue an open-ended NBW against accused Mallya for securing his presence,” the court observed, noting the necessity to enforce previous pending NBWs against Mallya in other cases. Mallya was declared a Fugitive Economic Offender in January 2019 under the Prevention of Money Laundering Act.
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The ongoing legal saga highlights the complexities of extraditing Mallya, who has been accused of defaulting on multiple loan repayments and engaging in money laundering activities. His departure from India in 2016 sparked a series of legal battles and extradition attempts by Indian authorities seeking justice in financial fraud cases linked to Mallya’s business dealings.
The issuance of an NBW marks another chapter in the efforts to bring Mallya back to India to face trial for alleged financial misconduct, signaling a continued pursuit of justice in high-profile economic offenses.
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