Vijay Mallya Declared 'Fugitive Economic Offender' by PMLA Court; Government Authorised to Confiscate Liquor Baron's Properties

New Delhi, January 5: In a big set to Vijay Mallya, a special Prevention of Money Laundering Act (PMLA) court on Saturday declared the liquor baron 'fugitive economic offender’. The court pronounced the verdict while hearing the Enforcement Directorate’s (ED) plea. With this decision, the government is now authorised to confiscate properties of Mallya. The court also refused the liquor baron’s application to stay the order to give him more time to appeal. Meanwhile, the hearing in the Special PMLA court on the confiscation of the properties of Mallya will be held on 5th February. Bombay High Court Dismisses Vijay Mallya's Plea Seeking Stay on 'ED's Request to Declare Him Fugitive'.

In September last year, the ED filed a plea seeking that he be declared a fugitive under the new Fugitive Economic Offenders Act. Mallya collectively owes an amount of over Rs 9,000 crores to a total of 17 Indian banks. He left the nation in March 2016, shortly after the consortium of lenders moved the court seeking penal action against him.

Last month, Mallya offered to repay 100 percent loan amount against his airline, Kingfisher. Along with offering to pay the loan amount, Mallya had also blamed the Indian media for spoiling his image. However, the Westminster Magistrates’ Court pronounced the verdict in favour of liquor baron’s extradition to India. The Central Bureau of Investigation (CBI) welcomed the UK court's decision.

The Fugitive Economic Offenders Bill 2018 was passed by both the houses of the parliament during the monsoon session last year. The bill empowers the government to attach and confiscate properties of economic offenders like loan defaulters who flee the country.

(The above story first appeared on LatestLY on Jan 05, 2019 03:45 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).