BENGALURU: Former United Breweries chairman Vijay Mallya has filed a petition before the Karnataka High Court, seeking directives to banks to provide account statements for the total amount along with accrued interest owed by him, the United Breweries Holdings Ltd (UBHL) and other certificate debtors, and also the amount recovered till date in the process of recovery of debts of erstwhile Kingfisher Ltd. The court on Wednesday issued notices to the debt recovery officer and 10 banks.
Justice R Devdas passed the order after hearing the petition filed by Mallya and adjourned the hearing to February 19. As an interim prayer, Mallya requested the court to stay further recovery proceedings by banks and to direct them to provide a statement of accounts.
The senior counsel for the petitioner contended that the winding up order against Kingfisher Airlines and holding company UBHL attained the finality and the amount due has already been recovered. However, additional recovery proceedings are being carried out. Parallelly there was a debt recovery proceedings in which Rs 6,200 crore was ordered to be paid by Kingfisher and UBHL, he argued.
He further stated that this petition does not indicate that loan amounts should not be paid but under the Companies Act, if the debt is fully paid, the guarantor company, UBHL, has no liability. To date, the recoveries continue and no order has been passed to say whether the primary debt is paid or not, he alleged.
Mallya prayed to the court to issue directions to the banks to issue statements of accounts by taking into account the interest accrued periodically and giving due credit to all recoveries made from time to time since the amended recovery certificate dated April 10, 2017 in the original application issued by the Debts Recovery Tribunal, Bengaluru.