Seized assets worth Rs 9,371 cr belonging to Vijay Mallya, Nirav Modi, Mehul Choksi transferred to banks

The Enforcement Directorate (ED) has transferred attached assets belonging to Vijay Mallya, Nirav Modi and Mehul Choksi to public sector banks that suffered huge losses on account of fraud committed by the fugitive billionaires.

Of the Rs 18,170.02 crore worth of assets seized, the ED said it has transferred Rs 9,371.17 crore to the government and public sector banks (PSBs).

“ED not only attached/ seized assets worth of Rs 18,170.02 crore (80.45 percent of total loss to banks) in case of Vijay Mallya, Nirav Modi and Mehul Choksi under the PMLA but also transferred a part of attached/ seized assets of Rs 9,371.17 Crore to the PSBs and Central Government,” the ED said in a tweet.

Further realisation of Rs 800 crore by sale of shares is expected by June 25, the central probe agency said in a statement.

Recently, the ED has transferred shares attached by it (worth of ₹ 6,600 crore approx) to SBI-led consortium as per order of PMLA Special Court, Mumbai. Public Sector Banks have already recovered ₹ 1,357 crore by selling the shares earlier.

Vijay Mallya, owner of now-defunct Kingfisher Airlines, is accused of fraud and money laundering allegedly amounting to around ₹9,000 crore.  While the ED and the CBI were investigating the matter, Mallya left the country on March 2, 2016 — the day banks moved the Debt Recovery Tribunal against him. In January 2019, he was declared a fugitive economic offender under the Fugitive Economic Offenders Act.

Also Read: Government open to new measures to boost Indian economy: CEA

Mehul Choksi and his nephew Nirav Modi, are wanted for allegedly siphoning ₹13,500 crore of public money from the state-run Punjab National Bank (PNB).  The duo allegedly bribed officials of the state-run bank to get Letters of Undertaking (LoU) on the basis of which they availed loans from overseas banks that remained unpaid. Choksi, the owner of defunct jewellery giant Gitanjali Group, became a citizen of Antigua through a government-run scheme.