Vijay Mallya’s offer to repay Rs 4,000 crore rejected; court asks to disclose complete assets

New Delhi, April 7 : A Consortium of banks on Thursday rejected former Kingfisher baron Vijay Mallya’s repayment proposal by September 2016. The banks informed the Supreme Court that they have rejected Mallya’s offer to repay Rs 4,000 crore. The amount less than half of what Mallya owes the banks. The banks told the apex court that for a negotiation, Mallya should return to India. The banks met on April 2 to discuss about his offer of paying the amount by September. Kingfisher which stopped functioning in October 2012 owes an amount of Rs 9,091 crore as of November 2105. Banks told Supreme Court, ‘Proposal rejected after full consideration’. We received a modified proposal last evening from Vijay Mallya.” Kingfisher has sought two weeks time from the apex court for a new proposal. Court has asked Mallya to deposit a substantial amount to prove his bona fides. Court has also asked Mallya to disclose his assets and assets belonging to his wife and children. Mallya has been asked to file response by April 21. Next date of hearing April 26. Supreme Court also asked Vijay Mallya’s lawyers to inform as to when he is coming back to India. Mallya has offered to pay Rs 4,000 crore by September through a video call. He said that he would pay another Rs 2,000 crore if Kingfisher wins a lawsuit seeking damages from a plane engine-maker. Last month, the service tax department had claimed in a petition to the Bombay High Court that Mallya’s total disputed liability in respect of service tax amounted to Rs 535 crore.