Banks want Mallya in Supreme Court to work out a settlement

New Delhi: A consortium of 17 banks, led by State Bank of India, on Thursday rejected in the Supreme Court a proposal made by Vijay Mallya towards settlement of his dues to the tune of Rs 9,000 crores. A Bench of Justices Kurian Joseph and Rohin-ton Nariman accepted the submission made by senior counsel Shyam Divan, appearing for the banks that for a meaningful neg-otiation for settlement, the personal appearance of Mallya in the court is required.

The Bench in its brief order directed Dr Mallya to disclose the details of assets and all movable and immovable properties held by him, his wife and children both in India and abroad. While giving time to Dr Mallya’s lawyers to come out with a revised offer in two weeks, the Bench said they should inform the court as to when Dr Mallya will come back to India and asked them to indicate the amount which he is willing to deposit in the court to show his bonafide.

At the outset Mr Shyam Divan said the consortium of banks had unanimously rejected the first offer of Rs 4,000 crore and then a slightly modified offer received on Wedn-esday from Mallya. He, however, said the financial institutions are willing for a negotiated settlement which can be done only if Dr Mallya is present in the court. The counsel representing banks also submitted that since large figures are involved, “We think it is reasonable to ask Mallya to make a full, fair and final disclosure of his assets. He should make a substantial advance deposit. Senior bank officials will also be present in the court to have an effective solution.”