A day after Liquor baron Vijay Mallya sought one month time to depose before the Enforcement Directorate in the IDBI money laundering case, the ED on Saturday issued summons asking him appear on April 9. This was the third summon since Enforcement Directorate registered a money laundering case against Mallya.
If he again fails to appear on April 9, sources said, the ED could initiate legal action for revoking his passport and also get a non-bailable warrant against him issued by a court.
Liquor baron and Chairman of the known United Breweries (UB) group Vijay Mallya is facing ED investigation in connection with money laundering probe in the over Rs 900 crore IDBI loan fraud case. Mallya on Friday expressed his inability to keep the scheduled and sought time.
Mallya informed the Investigating Officer that cases related to bank loans are subjudice in the Supreme Court and he was trying to settle these loans with the help of his legal and corporate team and, hence, would require some more time. However, the Investigating Officer turned down Mallya’s request.
ED official said that under Prevention of Money Laundering Act (PMLA), summon can be sent only three times and that would be completed by the fresh date on April 9.
Mallya was first summoned by the ED to “appear in person” at its office in Mumbai on March 18 but he sought more time citing his prior engagements, following which the agency asked him to depose on April 2.
Mallya and Kingfisher Airlines Ltd (KFA) had on March 30 submitted to the Supreme Court in a sealed cover a proposal for repayment of Rs 4,000 crore out of the loan amount of Rs 6,903 crore to a consortium of banks led by State Bank of India by September this year. He is currently reported to be in the UK after he left India on March 2.
The UB group Chairman was first issued summons by ED under the provisions of PMLA to provide documents related to his personal investments and finances, Income Tax Returns for the last five years and his passport.
The ED had recently registered a money laundering case against Mallya and others, based on an FIR registered last year by the CBI. The agency is also investigating financial structure of the now defunct KFA and looking into any payment of kickbacks to secure loan.