Kingfisher shouldn’t be the only airlines over which questions should be raised – asserted TV Mohandas Pai, former top official of Infosys – bringing into light the massive losses incurred by Air India.
“Air India has lost about Rs 30,000 crore. Why don’t you hold the people who manage (it) accountable for Air India losses like you hold Vijay Mallya (accountable for losses in Kingfisher Airlines)?” demanded Pai, former Chief Financial Officer and HR Head of the Bengaluru-based software major.
“What is the difference between Vijay Mallya who lost Rs 10,000 crore and Air India which lost Rs 30,000 crore? Bank money is lost (in case of KFA) and public taxpayer’s money is lost (in AI’s case).”
“Parliament and Media are Quiet; What is This Hypocrisy?”
He went on to state how everyone was quiet on the Air India issue, while going after Mallya, all guns blazing.
“Everybody is going after Vijay Mallya. (But) a government entity making (AI) losses is okay...is it? Parliament is sitting quietly and does not talk about it. Media will sit quietly and nobody will talk about it...holding nobody accountable. What is this? It’s hypocrisy. Both are of the same character and both are wrong,” he said.
Pai also went on to give Mallya some advice, telling the latter that he won’t be able to in this battle by staying away and should instead come back.
One can blame Mallya for mismanagement of business losses, but now it’s in his interest to come back to India and strike a deal with banks by paying back as much as possible. He is not going to win this battle of delaying payment and going to courts.T V Mohandas Pai, Chairman of venture capital firm Aarin Capital and Manipal Education
Noting that the whole country is against Mallya now, Pai, formerly a member of the Kelkar panel on direct tax reforms, said, “He can’t fight the whole country for what he has done.”
“You are Living Luxuriously Without Paying Your Employees”
Pai wasn’t so generous with Mallya, however, when it came to discussing his non-payment of salaries to employees.
He said that while people would understand business losses, they’d get angry “if you lead a luxurious life, flaunt your wealth when you have not paid your employees, banks...”
Pai opined that government should not arrest Mallya and must ask him to come and settle the dues with the banks.
The government should not arrest him; it should tell him to come and settle. It’s in his interest and government’s interest to settle. Putting money laundering charges takes it to a different level, and to my mind, it’s unnecessary. Not good for him, not good for anybody.T V Mohandas Pai, Chairman of venture capital firm Aarin Capital and Manipal Education
Noting that the Mallya case has been before the DRT since 2013, he said that the biggest problem in India is the lack of a bankruptcy code or a loan recovery system which is fast.
Businessmen having outstanding loans love banks going to courts because they can prolong the case for 10-15 years without any resolution, he said, adding, “Dilatory practices in courts are the worst enemies of banks.”
Mallya, who is facing legal proceedings for alleged loan defaults by his group to the tune of over Rs 9,000 crore, had left India on March 2 kicking up a row, but has said that he is not an absconder and will comply with the law of the land.
(With inputs from PTI)
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