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It seems like the 17-bank consortium cannot recover the loan amount given to liquor baron Vijay Mallya easily as the consortium once again failed to attract bidders for a property of his, this time the famous Kingfisher Villa in Goa. Also Read - AirAsia India to Start Flights on Goa-Hyderabad Route From November 18
The e-auction arranged by the consortium led by the State Bank of India to sell Mallya’s Kingfisher Villa attracted no bidders on Wednesday.
According to a report in The Times of India, the 12,350 square meters villa had a reserve price of Rupees 85.3 crores ($11.27 million).
Earlier, the consortium reduced the reserve price of Kingfisher House in Mumbai to Rs. 135 crore from Rs 150 crore after it failed to attract bidders.
Kingfisher Villa was the center of Mallya’s activities in Goa where he conducted many parties. United Spirits Limited, the company in which Mallya was the chairman, had blocked the banks’ move to take possession of the building several times and it had approached a local court. But the consortium of banks headed by State Bank of India got the permission to take over the villa after it approached the Goa bench of the Bombay High Court.
Earlier, the lenders had taken possession of Kingfisher House in Mumbai, cars, personal luxury jet and 9 trademarks related to Mallya’s defunct company Kingfisher Airlines. The trademarks taken into possession include “Kingfisher” label, “Flying Models” and “Fly the Good Times.”
Mallya owes about Rupees 9,400 crores to 17 Indian banks. The businessman reportedly left India on March 2 and failed to show up before the probe agency on April 9, despite receiving a summons sent by ED three times.
He had offered to pay Rupees 6,800 crores to settle the dues of 9,400 crores. The government of India in April revoked the passport of Mallya.
India has requested the British government to deport Mallya citing that he didn’t have a valid passport. But the British government informed its Indian counterpart that it is not possible to deport him according to British law and requested to start the procedure for extradition.
This story originally appeared on The American Bazaar.