ED files new money laundering complaint against Vijay Mallya

  • IndiaGlitz, [Thursday,June 15 2017]

Alleging a loan default of Rs. 900 crores by Kingfisher Airlines Ltd, the Enforcement Directorate submitted a complaint to a Mumbai court. In its complaint, the ED accused Chairman Vijay Mallya of actively participating in money laundering and diverting more than Rs. 400 crore of the IDBI loan overseas.

The complaint also claimed that Mallya had conspired with five officials of IDBI Bank Ltd to secure loans for his airlines despite its not having valuable collateral nor a strong credit rating and net worth. Detailing how the loan amount was routed overseas and to firms controlled by Mallya, the ED pressed for charges under sections 3 and 4 of the Prevention of Money Laundering Act against Mallya, his airlines, and seven others. The complaint comes a day after a London court granted bail to Mallya.