Mallya loan default case: Court nod to banks for restoration of properties worth over Rs 5,600 crore

A special court in two separate orders passed recently has allowed restoration of properties of businessman Vijay Mallya and companies linked to him to a consortium of banks, led by State Bank of India, to recover the due loan amount of over Rs 5,600 crore.

Special Judge J C Jagdale said the claimants of the properties are public sector banks and that they have suffered a “quantifiable loss”. The court also said Mallya had himself proposed replacement of the amount due on him, while now he is opposing the plea for restoration to recover the losses made by the banks. “…it is material to note that the claimants are public sector banks and these banks are dealing with public money.