SBI Sends Letter to Kingfisher Airlines, May declare Vijay Mallya As A Wilful Defaulter Soon
Advertisement
Advertisement
State Bank of India, the largest public sector bank, has allgedly sent a letter to “Last week,
Very recently United Bank of India (UBI) declared the defunct airline and Mallya as wilful defaulter. Reports suggest that the bank took this extreme step after official from the company did not turn up for a meeting with the bank’s grieviance redressal unit. UBI is the first state-owned bank to have declared KFA as wilful defaulter.
On contacting the airline for a response, the company spokesperson Prakash Mirpuri said, “It is not possible for a bank to simply declare anybody as a wilful defaulter without following due process. The RBI circular is clear in this regard. We have robust and comprehensive answers backed by documentation to challenge any such move”.
He further added, “The Hon'ble Supreme Court observed that the SLP filed by KFA against UBI seeking legal representation before the Grievance Redressal Committee of the Bank had become infructuous as the Committee had already made a decision. The Hon'ble Court said that it was up to KFA to pursue such legal remedies as are available,”Mirpuri told BI India in an email response.
Advertisement
Mirpuri also noted that the airline will vigorously challenge the decision of UBI. “KFA and its directors strongly deny the allegations of wilful default for alleged non-payment of Rs 7.5 crores to UBI. Kingfisher Airline and its directors have not been given any opportunity to present their case through lawyers of their choice before UBI who have come to a wrongful ex-parte decision in great haste when the question of legal representation was under challenge.” The company however did not comment on SBI’s letter.
The state–run public sector bank, SBI, did not comment on the issue at the time when the story went to press.
Advertisement
- US buys 81 Soviet-era combat aircraft from Russia's ally costing on average less than $20,000 each, report says
- 2 states where home prices are falling because there are too many houses and not enough buyers
- A couple accidentally shipped their cat in an Amazon return package. It arrived safely 6 days later, hundreds of miles away.
- ICICI Bank shares climb nearly 5% after Q4 earnings; mcap soars by ₹36,555.4 crore
- Markets rebound sharply on buying in bank stocks firm global trends
- Bengaluru's rental income highest in Q1-2024, Mumbai next: Anarock report
- Rupee falls 10 paise to settle at 83.48 against US dollar
- Include 4 hrs of physical activity, 8 hrs sleep in routine for optimal health, suggests study
- JNK India IPO allotment date
- JioCinema New Plans
- Realme Narzo 70 Launched
- Apple Let Loose event
- Elon Musk Apology
- RIL cash flows
- Charlie Munger
- Feedbank IPO allotment
- Tata IPO allotment
- Most generous retirement plans
- Broadcom lays off
- Cibil Score vs Cibil Report
- Birla and Bajaj in top Richest
- Nestle Sept 2023 report
- India Equity Market