United Bank of India asks Vijay Mallya, 3 Kingfisher Airlines directors to face panel

Jun 30 2014, 09:01 IST
Comments 0
SummaryUnited Bank of India had earlier sent a notice to Vijay Mallya and he was given 15 days time to give a reply.

United Bank of India has asked Vijay Mallya and three other directors of grounded Kingfisher Airlines to appear before a panel of the bank at the head office here on July 9.

"The recovery department of the bank has sent a letter to them, asking chairman Vijay Mallya and three other directors of Kingfisher Airlines to appear on July 9 before the grievance redressal committee of UBI here," bank's executive director Sanjay Arya said. He said they had been asked to appear so they could get a chance to defend themselves before the bank declares them a wilful defaulter.

The bank had earlier sent a notice to Mallya and he was given 15 days time to give a reply. Subsequently, Mallya requested that he had something to say in this regard.

UBI was the first among other banks in the country to take such a stern step against the grounded airline. The bank's exposure to Kingfisher Airlines was around R350 crore.

Arya said that a lender declares a person a wilful defaulter when it is satisfied that the borrower does not pay despite having the ability to do so.

Ads by Google
Reader´s Comments
| Post a Comment
Please Wait while comments are loading...