Daijiworld Media Network – Bengaluru
Bengaluru, Aug 30: The Karnataka high court (HC) on Friday admitted a petition filed by fugitive businessman Vijay Mallya questioning the recovery of loans beyond the amount due by banks, and has listed the matter for hearing in September.
Vijay Mallya, along with Daljit Mahal, director of the now-bankrupt United Breweries Holdings Limited (UBHL), has filed the petition in the HC seeking directions to banks to provide details of the total loan amount and the sum already recovered.
The petitioners requested the court to direct the creditor banks, in line with the amended order of the Debt Recovery Tribunal (DRT) dated April 10, 2017, to furnish a complete financial statement of the outstanding principal and interest due, along with details of properties already seized from UBHL (which is currently undergoing insolvency proceedings) and other associated borrower companies.
Justice B M Shyam Prasad, who heard the petition, observed that the current plea and another writ petition (WP 3357/2025) raised common issues.
It was highlighted that while the total loan due was Rs 6,200 crore, recoveries have already exceeded this amount. The finance minister informed the Lok Sabha that Rs 14,000 crore had been recovered, while the recovery officer stated that Rs 10,200 crore had been collected. Despite this, the recovery process is still being pursued. Senior advocate Sajan Poovayya, appearing for the petitioners, urged the court to direct the banks to submit a detailed account of recoveries.
The court, after hearing arguments, issued notices to the recovery officers of the DRT, the State Bank of India, and nine other banks, and adjourned the hearing to September 15.