Non-bailable warrant issued against Vijay Mallya

In a major blow to liqour baron Vijay Mallya, a non bailable warrant was issued against him after he failed to appear before enforcement directorate to record his statements.

The Prevention of Money Laundering Act Court has issued the non-bailable warrant on Monday. The court also rejected a plea made by Kingfisher Airlines to not pass any coercive orders as sought by the ED against the founder of the now defunct Kingfisher Airlines. Enforcement Directorate has alleged that Vijay Malla has bought foreign assets from the loan he had taken against Kingfisher airlines from IDBI. Enforcement Directorate has summoned Mallya thrice in connection with Rs. 900 crore money laundering case concerning an IDBI bank loan. ED said that out of 900 core of loan Mallya spent Rs.430 crore in buying foreign assets. However, Mallya’s counsel defended the allegation of buying properties in foreign land saying the loan was spent for right purposes.  Earlier,ministry of External Affiars had suspended the Mallya's passdport. Mallya is currently said to be in London for 4 weeks. Mallya is accused of defaulting on a liability of Rs9000 core from various banks. Banks have already refused the settlement proposal of Mallya. And now with the issuance of non bailabel warant, the path has been cleared for a red corner alert to be issued by Interpol against Mallya.