SC holds Vijay Mallya Guilty of Contempt of Court
The Supreme Court has held UB Group chairman Vijay Mallya guilty of contempt of court for transferring 40 million dollars to his children in violation of the court’s order. The Supreme Court has ordered Vijay Mallya who is in the United Kingdom to appear before on the 10th of July to argue on the quantum of punishment. On July 10, the apex court will decide on the quantum of punishment to be awarded to Vijay Mallya.
Contempt petition against Mallya was moved by a consortium of banks in July 2016 accusing Mallya for transferring 40 million dollars which he had received from British firm Diageo to his children in violation to various judicial pronouncements.
The State Bank of India led consortium of banks is seeking to recover more than Rs9,000 crore from Vijay Mallya. The banks accuse Mallya for wilfully disobeying the orders of the Supreme Court by making “vague and unclear disclosure of his assets”.
The Supreme Court had directed Vijay Mallya twice in 2016 to disclose his assets including those held by his family. However, Mallya fled to London in March 2016 even before banks moved the apex court. India has initiated extradition proceedings against him.
Contempt of court is an offence punishable with a simple imprisonment for a term of maximum six months or a fine of up to Rs 2000 or both.
Month: Current Affairs - May, 2017