Non-Bailable Warrants, Personal Jet Auction – Mallya’s Woes Mount

All you need to know about Vijay Mallya’s latest troubles.

Four Non-Bailable Warrants Against Mallya in GMR Cheque Case

A Hyderabad court has issued four more non-bailable warrants (NBWs) against Mallya after he failed to appear in court in connection with alleged dishonour of cheques amounting to Rs 2 crore to GMR Hyderabad International Airport. (The Quint)

Govt to Auction off Mallya’s Personal Airbus Jet, Other Assets

With an eye on recovering service tax dues worth Rs 812 crore, the government is looking to auction off some of Vijay Mallya’s personal assets. On the line are the liquor baron’s Airbus ACJ 319, five smaller ATRs and three helicopters belonging to his long-grounded Kingfisher Airlines. The aircraft are in the possession of the service tax department. The auction may be conducted by 15-16 March. A standard Airbus A319 has a list price of Rs 600 crore.

The IT department officials say Mallya’s personal jet was already on lease and no entity has approached the authorities or the courts regarding the plane. (The Economic Times)

KFA Lenders Seek Fast Legal Action to Recover Rs 350 Crore From Airbus

Kingfisher lenders are seeking fast legal action against Airbus Industries to recover Rs 192 crore that the aircraft maker had received as advance payment for supplying aircraft to KFA. The order was later cancelled. After Kingfisher started defaulting bank loans, these lenders tried to impound the receivables from Airbus. (Economic Times)

ED, RBI Renew Probe Into Rs 4,000-Crore Fund Transfer from United Spirits

The Enforcement Directorate (ED) and Reserve Bank of India have renewed a probe into the transfer of Rs 4,000 crore from United Spirits (USL) to the British Virgin Islands in early 2007 by the company before it was taken over by Diageo in 2012.

A division bench of the Karnataka High Court ordered the same probe as early as 20 December 2013 but that was never followed up by concerned agencies.

The ED and RBI will look into USL’s transactions and call for relevant papers from the company and Diageo, its new owner, said an official close to the development. (Business Standard)

KFA’s Brand Valuer Grant Thornton in the Dock

Now, the tax and advisory firm which carried out the evaluation of the Kingfisher Airlines brand – Grant Thornton India – is under the scanner.

The Serious Fraud Investigation Office (SFIO), which comes under the Ministry of Corporate Affairs is looking closely at the Rs 4,100 crore valuation attached by Grant Thornton to the Kingfisher Airlines brand in 2011, according to two people familiar with the development. That valuation made the Kingfisher Airlines brand the single largest collateral for its loans. (Livemint)

CBI to Seek Information on Vijay Mallya’s Properties Abroad

In a move that is likely a precursor to issuing a Red Corner notice by Interpol, the CBI will issue Letters Rogatory (LR) to obtain details of liquor baron Vijay Mallya’s assets abroad. Mallya has properties in the US, Europe and Hong Kong among other destinations.

Significantly, CBI’s preparations coincide with Mallya’s close associate and former chief financial officer Ravi Nedungadi opening up to inform the Enforcement Directorate about two expensive properties – one in San Francisco and another in France – with links to Mallya. (The Times of India)

Banks Start Giving ED Loan Papers in KFA Case

The Enforcement Directorate (ED) has started receiving documents from 17 banks in connection with Rs 9,000 crore loans extended to Kingfisher Airlines. All banks have been instructed by the agency to submit all required details right from valuation, due diligence, and transactions. (Business Standard)

Vijay Mallya’s Date with Indian Investigators Clashes With F1 Opener

Mallya faces a sensitive diary clash this week as the season-opening Australian Formula One Grand Prix coincides with an appointment to appear before the ED.

The ED has summoned Mallya for questioning this Friday which is also the first official practice day before Sunday’s Australian Grand Prix. Mallya, who co-owns Britain-based team Force India and regularly attends races, did not respond to Reuters’ request for a comment on whether he plans to go. If he does, without first making a pit stop back home, it is likely to trigger further uproar. (Reuters)