BENGALURU: The Karnataka High Court on Friday issued a bailable warrant for Rs 50 lakh against Vijay Mallya to his UK address through Ministry of Home Affairs, returnable by June 1.
The division bench of Justices B S Patil and B V Nagarathna issued this warrant, as Mallya failed to appear in response to the bailable warrant issued to his Bengaluru address, in connection to a contempt petition filed by the consortium of banks.
On January 27, while hearing the contempt petition filed by the consortium of banks, the High Court had issued a bailable warrant against Mallya, returnable by February 17, to his Bengaluru address, as he failed to appear before the court on December 2, 2016.
According to the consortium of banks, including SBI, when the matter was pending before the Debt Recovery Tribunal as well as the High Court, they came to know that Mallya had pledged 1,04,86,666 shares of UB Limited held by him and another 1,04,64,288 shares held by Mallya and his son Siddarth Mallya to Standard Chartered Bank, in violation of his oral undertaking given before the Tribunal.
It amounts to contempt of court, the banks have contended in their petition before the High Court.
Referring this, the banks have contended that the pledging of shares was confirmed by the stock exchange and it was wilful disobedience of undertaking given by him. Hence, Mallya should be prosecuted on charges of Contempt of Courts Act, the petitioners urged.