Liquidator opposes banks plea to sell Mallya's properties

Bengaluru: The official liquidator appointed by the Karnataka High Court on Wednesday, March 13 opposed a plea by banks to restore the confiscated properties of fugitive economic offender Vijay Mallya to them.

A consortium of banks had filed an application before the special court of M.S. Azmi here to liquidate Mallya’s assets so that they can recover Rs 6,203.35 crore with annual interest at 11.5% payable since 2013.

Earlier, the Enforcement Directorate informed the special court that it has no objection to restoring Mallya’s properties to the lenders if they gave the undertaking to return the money recovered by them to the court later.

Opposing the banks’ plea, the official liquidator said, “At present, there are several creditors, including workmen and financial institutions, other than the applicant the bank, who also have legitimate claim on these properties.”

These properties officially belong to United Breweries Holdings, which Mr. Mallya sold to the British liquor giant Diageo. The properties, both movable and immovable, are valued at over Rs 5,000 crore.