Mallya has to get by on £5,000 a week and has requested the court that the allowance while his assets are frozen be raised to £20,000.
Mallya’s now defunct Kingfisher Airlines defaulted on loans and interest to a consortium of 17 Indian banks in 2010. In 2013, the airlines lost its licence and in 2016 he fled to the UK, where he is now fighting extradition. The extradition trial will resume on Thursday at Westminster Magistrates’ Court. Prison condition expert Dr Alan Mitchell will give evidence for the defence. CBI sources expressed optimism that based on the hearing so far, they could get Mallya extradited.
Quoting an order of the Debt Recovery Tribunal, Bengaluru, that Mallya owed Rs 6,203cr, the banks moved the Commercial Court and sought enforcement of the Indian judgment in the UK under the Foreign Judgments (Reciprocal Enforcement) Act 1933 and the Reciprocal Enforcement of Judgments (India) Order 1958. They obtained an order restraining Mallya from moving his assets out of the UK up to a limit of Rs 9,853cr and to prevent him from diminishing assets of the same value in or out of the UK.
Mallya filed an application on December 7 to set aside the freezing order. Mallya has until December 22 to give a statement confirming his worldwide assets. A two-day hearing will take place in April.
Pavani Reddy, managing partner of Zaiwalla & Co Solicitors, London, said: “English court freezing orders impose onerous obligations. If full and frank disclosure is not provided, the courts will likely fine or imprison a defendant. It is therefore imperative that Mallya complies with all the court orders.”
The mortgage for Mallya’s Tewin Rs 100cr mansion, which he bought off F1 champion Lewis Hamilton’s father Anthony, is in the name of Ladywalk LLP. Orange India Holdings Sarl, based in Luxembourg, owns and operates the Force India Formula One Team and is a subsidiary of United Breweries Ltd. Rose Capital Ventures Ltd is registered in offshore tax haven the British Virgin Islands.
Source : timesofindia