Banks reject Vijay Mallya’s repayment offer, Kingfisher seeks two weeks time for new proposal

Lenders to the long-defunct Kingfisher Airlines have rejected repayment offer of Rs 4000 crores by Vijay Mallya. Now, Kingfisher has asked for two weeks of time to present new proposal, while banks have asked Vijay Mallya to show up for one to one negotiations.

Announcing April 26 as new date of hearing, Supreme Court has asked Vijay mallya to disclose all his assets. Last week, the airline and Mallya had submitted a proposal in the apex court to pay Rs 4,000 crore by September to the consortium of 17 banks led by State Bank of India. (Also read. Mallya Case: Diageo PLC files objections against DRT Order)

A Bench comprising Justices Kurian Joseph and Rohinton F Nariman had given the consortium a week's time to respond to the proposal and fixed April 7 for further hearing. Kingfisher, which ceased operations in October 2012, owed the banks, mostly state-run, Rs 9091 crore including interest and fees as of last November, the government has said.

Vijay Mallya, who was once known as ‘king of good times’, left India on March 2 as Kingfisher’s creditor banks stepped up pressure on him. Information about his whereabouts is yet to be revealed. (Also read. ED issues third summons to Mallya; asks him to appear on Apr 9)