CBI searches offices, residence of Vijay Mallya in loan default case
October 10, 2015
New Delhi
Central Bureau of Investigation on Saturday carried out searches at residential and official premises of liquor baron Vijay Mallya and his now-defunct company Kingfisher Airlines in five places in connection with alleged default of over Rs 900 crore loan from IDBI Bank.
CBI sources said searches were carried out at the offices and residence of Mallya in Mumbai, Goa, Bangalore and other places.
They said a case was registered by the agency against Mallya, Director of defunct Kingfisher Airlines; the company; A Raghunathan, Chief Financial Officer of the Airlines; and unknown officials of IDBI Bank.
It is alleged that the loan was sanctioned in violation of norms regarding credit limits.
No immediate reaction was available from the company.
The CBI sources said an FIR into the alleged violations was registered recently as part of its wide probe into criminal aspects of loans declared to be non-performing assets by public sector banks.
The sources said there was no need for the bank to take the exposure outside the consortium.
Mallya would soon be called for examination in connection with the case.
“It was first exposure to the bank. There was no need for the bank to take the exposure outside the consortium when already other loans were getting stressed,” a senior CBI official, probing the matter, had earlier said.
The bank will have to explain reasons for extending the loan to the airlines, ignoring its own internal report which has warned against such a move.
The debt-laden airlines stopped operations in October 2012.
The CBI sources said the agency has registered a total of 27 inquiries and cases with regards to “bad loans” given by public sector banks to various corporates in 2013.
The consortium of 17 banks had an outstanding of over Rs 7,000 crore on loans from Kingfisher with State Bank of India having the highest exposure of Rs 1,600 crore.
The then CBI Director Ranjit Sinha had said bulk of non-performing assets were connected to 30 defaulter accounts.
PTI
Related Stories
I am not an absconder: Vijay Mallya
SBI blames holidays for delay in moving courts against Mallya
India's top bank defaulter Vijay Mallya leaves India
Plea in SC for restraining Vijay Mallya from leaving India
Tribunal bars Mallya from accessing $75 mn from Diageo deal
I am not an absconder, will continue to co-operate with investigators: Mallya
SBI seeks India's top loan defaulter Vijay Mallya's arrest, impound passport
Mallya's USL exit: consortium of 17 lenders to move Tribunal
CBI questions Vijay Mallya in alleged loan default case
Mallya's Kingfisher allegedly diverted portion of loans to tax havens
ED attaches property of one of the top bank loan defaulters in US
United Bank tops list with highest bad loans among PSU lenders
Govt publishes list of big Income Tax defaulters in newspapers
Big Income Tax defaulters: 11 of 18 are from Gujarat
Names of 18 tax defaulters who owe Rs 500 crore
Gujarat HC refuses relief to NK Proteins in NSEL case
Banks battling big spurt in bad loans: Arun Jaitley
NSEL scam: ED attaches Rs 14.22 crore assets of NK Protein
CBI files case against Ahmedabad based Electrotherm India
India's second largest bank loan default case has Surat connection, CBI probing the case
Recent Stories
- ACB Gujarat files offence against SK Langa and son for disproportionate asset
- Kshatriya agitators announce part-2 programs in Gujarat
- FM Sitharaman on Gujarat visit on April 20th
- JNK India Limited’s IPO to open on April 23rd
- CR Patil files nomination papers from Navsari Lok Sabha seat
- Miscreants attempt to vandalize BJP office in Rajkot
- Amit Shah files nomination papers for Gandhinagar Lok Sabha seat