New Delhi, Dec 7 (IT): The Supreme Court today declined stay on the proceedings drawn against absconding businessman Vijay Mallya by the Enforcement Directorate (ED).

The court has issued a notice to ED on Vijay Mallya's plea challenging proceedings in Bombay court to declare him as a fugitive offender.

Mallya was represented by senior advocate Fali S Nariman.

Vijay Mallya had moved the Supreme Court to get proceedings against him under the Fugitive Economic Offenders (FEO) Act quashed. Earlier, the ED had approached a Mumbai court seeking order to punitive action under the FEO Act.

The special court for Prevention of Money Laundering Act (PMLA) cases is hearing the ED's plea to declare Vijay Mallya a fugitive under the Fugitive Economic Offenders (FEO) Act.

Vijay Mallya's lawyer had told the Mumbai court that the businessman did not leave India under suspicious circumstances as claimed by investigating agencies. It happened in "normal course". The lawyer argued that Vijay Mallya was a non-resident Indian (NRI) with a permanent address in London and he had substantial business overseas as well as in India.

Vijay Mallya is accused of defaulting on bank loans to the tune of Rs 9,000 crore. He is also accused of diverting some of the loan amount.

Indian authorities have been pressed hard for his extradition from the UK, where he has been living for the past two years.

He is currently out on bail against an extradition warrant issued in April last year in relation to money laundering charges. A ruling on his extradition case is expected at the Westminster Magistrates' Court in London on December 10.

On December 5, Mallya, offered to repay his debt to banks in India and urged the Government of India to accept his offer.