Tycoon Vijay Mallya loses appeal against UK bankruptcy order

LONDON - Indian tycoon Vijay Mallya on April 9 lost an appeal against a bankruptcy order made by Londons High Court over a more than £1 billion (S$1.7 billion) debt to lenders including the State Bank of India.

Mallya, who lives in Britain, has been embroiled in a long legal battle with lenders – as well as the Indian authorities – following the 2012 collapse of his defunct Kingfisher Airlines.

In 2017, a group of banks obtained a judgment in India worth over £1 billion against Mallya, who had guaranteed Kingfisher Airlines debt.

That ruling was registered in Britain later that year and led to a bankruptcy order being made against Mallya in 2021.

Mallya appealed against the bankruptcy order at a hearing in February, when his lawyers argued the banks had already recovered assets which had effectively settled the debt.

But his appeal was rejected on April 8, with Judge Anthony Mann saying in a written ruling that the bottom line... is that the bankruptcy order stands.

Mallyas lawyers said in a statement that he would continue to seek to overturn the bankruptcy order.

Mallya, who was also co-owner the Formula One motor racing team Force India, is separately fighting extradition to India to face fraud charges over Kingfisher Airlines collapse.

His most recent appeal against his extradition was rejected in 2020, but Judge Mann said in his ruling that the extradition order has still not been enforced.

Apparently Dr Mallya is still resisting extradition on other bases which have yet to be resolved, Judge Mann added. REUTERS

Join STs Telegram channel and get the latest breaking news delivered to you.