The Enforcement Directorate today submitted a supplementary complaint against liquor Mogul, Vijay Mallya. The complaint has been filed under the Fugitive Economic Offenders Act and the provision, Prevention of Money Laundering Act (PMLA). Vijay Mallya is the first person to be booked under the Act, which seeks to detain anyone who has committed economic crimes, and is evading justice from the authorities by traveling out of the country. The ACT, which was approved by President by Ramnath Kovind in April, 2018, is going to enable the forces to exercise more control and authority over criminals who are responsible for economic crimes, recently, Nirav Modi, Lalit Modi, Mehul Choksy and others. Nirav Modi, the head of Firebrand jewelry has been involved in the Punjab National Bank, and also fled the country in fear of being caught by the police. As such, Vijay Mallya is going to be branded a fugitive by law.
The ACT will alow ED to auction off the assets in possession of Mallya, in India and abroad, to recover the money that he has cheated in the frauds or which he owes to the Banks. Vijay Mallya is currently hiding in England, and has neither properly responded to or appeared before the ED court for the hearing.
Kingfisher Airlines Limited and United Breweries (United Breweries Holdings Limited) has been mentioned in the lengthy charge sheet. It also mentions that, the SBI, which is the consortium leader, has calculated the amount (of the loan) to the tune of Rs. 9,990.07 crore (including applied interest) as on May 15, 2018. Vijay Mallya had obtained the loans from the banks by putting the guarantee on himself and United Breweries. He has been accused of planning a conspiracy, for obtaining loans, which violated the procedures that had been set by the banks.