Indian banks’ hurdles: Possible Mallya appeal and opaque ownership structure of UK properties

LONDON, May 9: Whilst a consortium of 13 Indian banks may have won a high court battle against Kingfisher Airlines founder Vijay Mallya on Tuesday, there are still significant hurdles for the banks ahead.
On Tuesday the banks won the right to register in England and Wales January 19, 2017, Indian judgment from the Debt Recovery Tribunal, Bengaluru. That judgment states that Mallya owes the banks more than Rs 9,000 crore. High court enforcement officers can now take enforcement action to recover those debts from his assets in England and Wales and a freeze order preventing Mallya from dissipating his worldwide assets is also in force. However, the “opaque and complex” ownership structure of Mallya’s various UK properties are frustrating attempts by the Indian banks to establish if they are his assets, court documents seen by TOI reveal. And Mallya could now seek permission to appeal the high court decision in the Court of Appeal. Whilst his application to appeal was rejected by high court Judge Andrew Henshaw QC at Tuesday’s hearing, Mallya has 21 days to make an application to the Court of Appeal for permission to appeal. (Agencies)