State Bank of India led consortium of banks has recovered Rs 792 crore through the sale of shares of fugitive buisnessman Vijay Mallya, the enforcement director said on Friday. The group of banks recieved the shares of the now defunct Kingfisher Airlines from the Enforcement Directorate.
The banks have already recoverd Rs 7,181.50 crore by liquidating Vijay Mallya’s assets. The banks recoverd 81% of their total claim of Rs 9,900 crore against Mallya.
Most of the shares were of United Breweries Ltd and United Spirits Ltd that Mallya owned in the name of 7 different companies, some of them are paper companies, controlled by him.
Mallya allegedly defrauded Rs 9,990 crore from SBI led consritum. Mallya took bank loans on his personal guarantee, a corporate guarantee of UB Holdings and an inflated brand guarantee of now defunct Kingfisher Airlines.
The loan was taken for operating expenses of Kingfisher Airlines but was used for other purposes, including to procure luxury aircraft for Mallya’s personal use and properties.
Input: TIMES OF INDIA