The liquor baron was soon released on bail.

 Vijay Mallya arrested in London for money laundering gets bailPTI/ file image
news Crime Tuesday, October 03, 2017 - 17:44

Liquor baron Vijay Mallya was arrested by the Metropolitan Police in London on Tuesday in connection with a money laundering case, TV reports said. He was produced in the Westminster Court where he secured bail. 

This is the second time that the London police has arrested Mallya.

Mallya was arrested on April 18 after India sought his extradition. He was, however, released on bail the same day.

In February, India handed over a request for extradition from the CBI to the UK High Commission in New Delhi.

This came after a year-long wait where the Indian government wanted the UK to deport Mallya. London, however, refused and asked New Delhi to make a formal extradition request.

Background

Mallya left India on March 2, 2016 for London, days after a consortium of 17 banks moved the Debt Recovery Tribunal to recover dues of Rs 9,081 crore, including interest, that was loaned to his now defunct Kingfisher Airlines.

In June. 2016 the Enforcement Directorate had told Interpol that it was "obligatory" on its part to issue a Red Corner Notice (RCN) against Mallya in connection with an alleged Rs 9000 crore bank loan fraud.

In a detailed communication to Interpol, the agency had said that it had followed all legal procedures for seeking RCN against him. It has also said that orders were issued by the courts after hearing the counsels of ED and Mallya, officials said.

Mallya has since offered to negotiate with the banks for a one-time settlement of dues and sought the Supreme Court's intervention.

Banks had previously shot down Mallya's offer of Rs 6,868 crore in April 2016 to settle the dues.

In June. 2016 the Enforcement Directorate had told Interpol that it was "obligatory" on its part to issue a Red Corner Notice (RCN) against Mallya in connection with an alleged Rs 9000 crore bank loan fraud.

In June,2016 a special PMLA court had declared Vijay Mallya as a proclaimed offender.
 

 

 

 

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