NEW DELHI: Indian investigators feel there is a strong chance of bringing Vijay Mallya back to India as documents shared by the Enforcement Directorate (ED) with the UK government claim the controversial tycoon laundered money from banks in India to “British companies“ and “bank accounts“ in the UK.The ED’s findings on money laundering have been shared with the UK and are in addition to the CBI’s exhaustive extradition “dossier“ which states that Mallya is wanted in cases of criminal conspiracy and cheating. Mallya is accused of fraudulently obtaining loan and credit facilities from IDBI Bank [BSE -0.28%] and a consortium of banks which he failed to pay back and caused losses of thousands of crores, sources said.
Officials said the particular aspect about Mallya routing illegal money into British companies and banks accounts in the UK is seen to significantly weigh against the liquor baron.According to top sources, most of the money was laundered before he fled to London on March 2 last year. Mallya had taken loans of Rs 900 crore from IDBI Bank and Rs 6,027 crore from a consortium of 17 banks led by State Bank of India [BSE -0.97%] and the total outstan ding with interest is around Rs 9,000 crore. A major chunk of the loan money was diverted to shell companies and bank accounts in the UK, Cayman Islands (a British overseas territory), Mauritius and some other countries. While the extradition process against Mallya has been initiated in London, the UK connection to “money laundering“ is expected to strengthen India’s case as UK laws do not take the money laundering charge lightly , officials said. The ED’s documents will be shared with the Crown Prosecution Service (CPS) during the trial.