London, 9 April

A consortium of Indian banks led by the State Bank of India on 9 April won its court appeal in London to uphold a bankruptcy order against Vijay Mallya, ending a long-running legal battle seeking repayment of loans owed by Mallya's now-defunct Kingfisher Airlines.

High Court judge Anthony Mann ruled in favour of the banks to allow the appeal to be heard in February, while rejecting two applications seeking permission to appeal filed by the 69-year-old businessman, who has been declared a fugitive in India over fraud and money laundering charges.

“The banks’ pleaded position on security was one which they were entitled to adopt,” Justice Mann ruled. He concluded, “The bottom line in relation to this is that the bankruptcy order stands.”

The ruling confirms that the banks had no security over Mallya's assets and that the bankruptcy petition was upheld. The court also found that the receipts from the assets seized by the Enforcement Directorate (ED) were conditional and did not discharge the debt under English law.

Mallya, who was declared bankrupt in July 2021, is pursuing a separate revocation application in a UK court, which is now scheduled for a directions hearing in October. He remains on bail in the UK.