'PNB will get due share': MD after Court lets banks sell Vijay Mallya's assets; SBI first

After the PMLA Court granted permission to banks to sell properties and securities belonging to liquor baron Vijay Mallya, Punjab National Bank (PNB) Managing Director Mallikarjuna Rao on Saturday stated that the bank hoped to get its due share after the lead banks accounted for their losses. A consortium of 11 banks led by the State Bank of India (SBI) has sought restoration of Mallya's properties seized by the ED, estimating a loss of over Rs 6,200 crore due to his bad loans. 

"PMLA court has given permission to banks to sell certain real estate properties and securities belonged to disgraced tycoon Vijay Mallya to recover dues loan amount of over Rs 5,600 crore. It was earlier under ED. Now the lead bank will sell those properties. PNB doesn't have much loan exposure in Kingfisher, but we will get our due share whatever once lead bank realize," said the Punjab National Bank MD. 

PMLA court allows banks to sell off Mallya's properties

The special PMLA court in Mumbai on May 8 allowed the restoration of Vijay Mallya's properties worth Rs 5,646.54 crore to banks. Among the 11 banks, SBI has the highest exposure of Rs 1,600 crore out of the original loan of Rs 6,900 crore to the defunct Kingfisher Airlines. Other banks that have exposure to the airline include Punjab National Bank (Rs 800 crore) and IDBI Bank (Rs 800 crore), Bank of India (Rs 650 crore), Bank of Baroda (Rs 550 crore), Central Bank of India (Rs 410 crore).

After the PMLA Court announced the order, Vijay Mallya lashed out at being called a 'cheat and fraudster'. "Have been watching TV and the repeated mention of my name as a cheat and fraudster. Does nobody consider that my assets far in excess of Kingfisher Airline borrowings have been attached by ED and several of my settlement offers to repay 100%? Where is the cheating or fraud?" he stated.

Even as India continues to press the UK to extradite the fallen liquor baron, Mallya continues to remain in the UK, out on bail on an extradition warrant executed three years ago by the Scotland Yard. He has allegedly sought asylum after a UK High Court ordered his extradition and barred him from approaching the UK Supreme Court to challenge it.