Vijay Mallya cannot use pending matters in India to delay proceedings in UK: Supreme Court

The Supreme Court today held that the petitions filed by liquor baron Vijay Mallya pending before it cannot be used to delay proceedings in the courts of the United Kingdom.

A consortium of Indian banks led by the State Bank of India (SBI) had recently proceeded with an insolvency plea against Mallya in the UK Courts. The hearing in these proceedings has been concluded and the orders are reserved.

Solicitor General for India Tushar Mehta today apprised the Bench of Chief Justice of India SA Bobde and Justices BR Gavai and Surya Kant that there is also a petition filed by Mallya against the confiscation of his properties by the Enforcement Directorate. The same is pending before the Apex Court.

This pending matter has allegedly been used by Mallya to stall the proceedings in London, Mehta told the Court. Mallya has requested the courts in London not to pass any orders in the insolvency matter owing to the pendency of the petition before the Indian Supreme Court.

It was in this regard that the Supreme Court today held that no pending matter in the Supreme Court of India can be used to delay or prejudice any case against Mallya in any other country.

Mallya's team had reportedly argued before the UK Court that the bankruptcy plea ought to be dismissed since banks are pursing relief on the same debt before Indian courts. It is also reported that Mallya had sought a stay on the proceedings until his appeal challenging an order for his extradition to India is heard by the Royal Courts of Justice in London next February.

Last month, UK Judge Michael Briggs had reserved orders in the plea. The verdict is expected to come out this year.

In a related matter, the Karnataka High Court in September last year dismissed a review petition filed by Mallya against an order upholding the direction of the Debts Recovery Appellate Tribunal (DRAT) Bangalore to deposit Rs. 3101 crore.