Vijay Mallya Claims Rs 6,200 Crore Debt Recovered ‘Multiple Times’

GG News Bureau
Bengaluru, 6th Feb. Fugitive businessman Vijay Mallya has told the Karnataka High Court that the Rs 6,200 crore he owed to banks has been recovered “multiple times over” and sought a detailed statement of accounts from the lenders.

The High Court, on Wednesday, issued a notice to the banks in response to Mallya’s petition. Justice R Devdas directed them to submit their response by February 13.

Senior advocate Sajan Poovayya, representing Mallya, argued that the winding-up order against Kingfisher Airlines and its holding company, United Breweries Holdings Limited (UBHL), had been upheld by all judicial forums, including the Supreme Court. Despite this, recovery proceedings against Mallya were still ongoing.

Poovayya stated that Kingfisher Airlines, as the primary debtor, and UBHL, as the guarantor, were ordered by a debt recovery tribunal (DRT) to pay Rs 6,200 crore. He claimed that since 2017, recoveries from Mallya and associated entities had exceeded this amount, citing figures from the recovery officer, the official liquidator, and even the Finance Minister, who informed Parliament that Rs 14,000 crore had been recovered.

The petition does not dispute the loan repayment but argues that under the Companies Act, once the debt is settled, UBHL should no longer be liable and can seek revival. However, this requires certification from the recovery officer, which has not yet been issued.

Mallya’s plea urges banks to provide a statement detailing the recovered amounts and the original owners of assets used for recovery, as per the amended DRT recovery certificate from April 2017. It also seeks a record of any remaining assets belonging to Mallya, UBHL, or third parties still held by banks.

As interim relief, the petition requests a stay on further asset sales until clarity is provided on the full settlement of the debt.