Mallya PMLA case: ED expands probe, to add fresh charges

New Delhi, Aug 17 (PTI) The Enforcement Directorate (ED)has expanded the ambit of its money laundering probe againstbeleaguered businessman Vijay Mallya and will now investigatethe alleged default of loans to the tune of Rs 6,027 croreavailed from a consortium of nationalised banks, a case takenover by CBI recently. Officials said the agency has already obtained details ofthe case from CBI and charges of cheating of the 17 banks areexpected to be incorporated in the case registered under thePrevention of Money Laundering Act (PMLA) against the liquorbaron. The agency is already working on attaching some freshassets of Mallya and his associates, besides invoking theIndia-UK Mutual Legal Assistance Treaty (MLAT) to make thebusinessman join the investigation here and getting issued anInterpol arrest warrant against him. ED sleuths, they said, will have an active cooperationwith the CBI to take the criminal probe under various sectionsof IPC, Prevention of Corruption Act and PMLA forward. The CBI had last week filed a fresh case under IPCsections related to criminal conspiracy and cheating againstMallya on the basis of a complaint received from State Bank ofIndia on behalf of the consortium of lenders for causing aloss of Rs 6,027 crore to them by not keeping repaymentcommitments of loan taken during 2005-10. Besides Mallya, his companies Kingfisher Airlines (KFA)and United Breweries Holdings Limited have also been named asaccused in the CBI FIR. Both the central probe agencies had earlier filed a caseof alleged loan default by the now-defunct KFA to IDBI Bank. ED is also preparing to initiate the second round ofattachments under the provisions of PMLA after the embattledbusinessman early this month skipped appearance before aspecial PMLA court in Mumbai. The agency, sources had said, has identified some pledgedshares, associated immovable and movable assets of Mallya andhis family members that would be seized and frozen as part ofits action plan. It is also in the process of getting a ‘proclaimedperson’ order issued by the special court which will be sentto the Ministry of External Affairs (MEA) in order to executethe India-UK MLAT to bring Mallya back here to joininvestigations. ED has already attached his properties worth about Rs1,411 crore under PMLA in this case a few months ago. The agency has been wanting Mallya to join investigations"in person" in its PMLA probe against him and others in the Rs900 crore alleged loan fraud case relating to IDBI Bank andhas virtually exhausted all legal remedies like seeking anInterpol arrest warrant and getting his passport revoked. Mallya and others are alleged to have diverted a part ofthe loan to some of their offshore businesses. PTI NES SMN SKSMN