Fugitive Indian businessman Vijay Mallya was declared bankrupt on Monday by the Insolvency and Companies Court of the London high court. Though the order takes effect immediately, he has the option to seek permission to appeal from a higher court. “There is no evidence he will go back to India to face trial so I find insufficient evidence he will pay the debt in full in a reasonable period of time. I shall adjudicate Dr Mallya bankrupt,” chief Insolvency and Companies Court (ICC) judge Briggs declared late Monday afternoon. The 65-year-old chairman of UB Group, who lost all his court battles against extradition to India in May 2020 but has still not returned, now has to hand over all his assets, as well as his bank and credit cards to a bankruptcy trustee who will investigate his affairs and establish his true assets and liabilities, with a view to selling relevant assets and repaying creditors. The person declared bankrupt must cooperate with the trustee. All his bank accounts will now be frozen, apart from money to buy essentials. He is banned from acting as a director of a company or creating a company without the court’s permission or borrowing more than £500 without declaring he is bankrupt. His name will appear on the Individual Insolvency Register where billionaire steel magnate Lakshmi Mittal’s brother Pramod Mittal, too, is listed. ED attach my assets worth 14K crores at behest of Govt Banks against debt of 6.2K crores.They restore assets to Ban…

vijay Mallya (@TheVijayMallya) Philip Marshall QC, representing Mallya, had his application for a stay on the bankruptcy and permission to appeal rejected by Judge Briggs, who said they had no real prospect of success. The State Bank of India-led consortium was seeking to make Mallya bankrupt for failing to clear the judgment debt of £1.05 billion (Rs 10,763 crore) determined by Karnataka’s Debt Recovery Tribunal in January 2017, which was subsequently registered in the English courts. The debt derives from a personal guarantee Mallya gave on loans lent to Kingfisher Airlines.

News Source : India Times