The Enforcement Directorate, in all probability, will decline Vijay Mallya's plea to extend the deadline sent for him to appear before the agency, till May. In tough measures that include revocation of his passport, sources in the ED said his request is unlikely to be accepted as he failed to appear for the third time on April 9, seeking time till May instead. ED officials had earlier hinted that the third summons could possibly be the last to Mallya as under the Prevention of Money Laundering Act (PMLA) such action can be undertaken for a maximum of three times only.
Sources said the agency may explore options, including approaching the court to cancel his passport. “In our view, non-cooperation with the probe into charges of money laundering constitutes a valid ground for scrapping the passport,” said a source. He added the ED will also move court for non-bailable warrant against the liquor baron and follow it up, in case he still does not turn up to face the probe by getting a red corner notice issued against him. After the third summons, the agency generally approaches the court to issue a non-bailable warrant against the accused. After Mallya's fleeing the country following default of bank loans in millions, the Modi government has toughened its stance. The PM in the past week has repeatedly stressed that he would ensure those who have defaulted on bank loans are not spared and made to return each rupee that they owe to public institutions.
The businessman communicated to the ED via email, urging them to exempt him from appearance till May-end, citing his ongoing court case and negotiation with banks. Mallya was first summoned by the agency to “appear in person” at its office in Mumbai on March 18 but he sought more time citing his prior engagements.
Neck deep in troubled waters, not only is Mallya facing legal proceedings for alleged default of loans worth over £900 million from various banks, the Supreme Court recently directed him to disclose by April 21 the total assets owned by him and his family in India and abroad. It also sought an indication from him when he will appear before it. The directions from the top court came after a consortium of banks led by the State Bank of India “unanimously rejected” his proposal, in the current form, to pay £400 million by September.
