Loans to Vijay Mallya given by UPA: Union Minister

Team Udayavani, Mar 18, 2017, 9:04 AM IST

New Delhi: Loans to the tune of Rs. 8,040 crore was given to liquor baron Vijay Mallya when the previous UPA government was in power, but action against him for defaults is being taken by the Modi government, a minister said.

Till December 31, 2016, there were 9,130 willful defaulters in the country who had taken loans amounting Rs. 91,155 crore from various PSU banks, Minister of State for Finance Santosh Gangwar said in Lok Sabha.

Replying a supplementary about action against Mallya, Gangwar, without taking his name, said the person whose name was mentioned was given loan in September 2004 and it was reviewed in February 2008.

The loan of Rs. 8,040 crore was declared non-performing assets in 2009 and the NPA was restructured in 2010.

“Our government has taken action against him. He is currently living in the UK. Various agencies have issued summons to him. Following our requests, the Ministry of External Affairs has revoked his passport and we are taking action so that he faces justice,” he said during Question Hour.

The Minister said among the 9,150 willful defaulters of PSU banks, suits were filed against 8,364 defaulters who had taken loans amounting Rs. 85,258 crore, while FIRs were lodged against 2,024 willful defaulters who had taken loans worth Rs. 29,557 crore, Mr Gangwar said.

Action against 6,207 willful defaulters taken under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, he said.