NEW DELHI: Business tycoon Vijay Mallya has been arrested in London and will be produced in the metropolitan court.
India had asked the UK to extradite Mr Mallya, who is accused of defaulting on bank loans worth 9,000 crores and facing charges of money laundering.
The flamboyant entrepreneur left India last year amid attempts by a group of banks to recover the unpaid loans.
Earlier in February, the government had handed over a formal request for the fugitive industrialist’s extradition to the UK High Commission, saying it had a legitimate case against him in on charges of financial irregularities and loan default.
New Delhi had cancelled Mr Mallya’s passport and asked the UK government to deport him to India. But the foreign ministry was told that India’s deportation request was not covered under UK laws that allowed visitors to stay back even if their passport wasn’t valid any longer.
Mr Mallya, who had launched the now-defunct Kingfisher Airlines that owes over 9,000 crore to various banks, has been charged with cheating and conspiracy by the CBI that filed a 1,000-page chargesheet against him for defaulting on a 900 crore loan taken from the IDBI bank in 2009. The CBI probe found that 250 crore of this – given to buy aircraft parts – was diverted abroad.
The judge must decide if Mallya’s extradition “would be disproportionate to or incompatible with” his human rights. If the judge is satisfied, the case will go back to the home secretary for a decision. Mallya can move the high court challenging the decision or submit a representation to the home secretary.