The Enforcement Directorate has said that former liquor baron Vijay Mallya used 13 shell companies to launder around Rs 1,300 crore, PTI reported on Thursday. The charges were made in their 57-page chargesheet filed in June. It was filed under several sections of the Prevention of Money Laundering Act.
According to the agency, the shell companies were completely controlled by Mallya, and conducted no real activities. The companies are in the US, Mauritius, Ireland and France and Kingfisher employees had been appointed their directors.
The ED is investigating money laundering involving a loan of around Rs 900 crore that Mallya took from IDBI. The ED said its “money trail analysis revealed that out of the total loan of Rs 860.92 crore, sanctioned and disbursed by IDBI, Rs 423 crore has been remitted out of India”. It has attached assets worth Rs 9,600 crore so far in connection with the case, PTI reported.
The fugitive businessman left the country in March 2016, soon after being accused of defaulting on loans worth around Rs 9,000 crore. He said he will not return to India. India has started the process to extradite him from the United Kingdom.
The UK will hear his extradition case on December 4.