New Delhi: With UB Group chairman Vijay Mallya not appearing in court on Monday after he was held guilty of contempt, the Supreme Court posted his case for hearing on July 14. The SC is set to decide the quantum of sentence against Mr Mallya for suppressing information and misleading the court.
The bench on May 9 found Mr Mallya guilty and ordered his personal appearance in court on Monday.
When the case was taken up on Monday morning, the counsel for a consortium of banks, led by SBI, informed the Bench that the contemnor had been duly served the order but he had failed to appear before the court.
Counsel for Mr. Mallya submitted that he had no instruction from his client in this regard. Taking note of the submissions, the Bench deferred the hearing till Friday, July 14. As counsel for the Central government was not present, the bench asked solicitor-general Ranjit Kumar to assist the court on July 14 in determining the sentence to be awarded to Mr Mallya.
On May 9, the bench had held him guilty of contempt in the petitions filed by the consortium of Indian banks seeking recovery of over Rs 6,200 cr dues.
The banks had alleged that Mr Mallya failed to disclose his assets as directed by the court. They also wanted a direction to Mr Mallya who has fled to the United Kingdom that the $40-million be deposited in an Indian court pending a final adjudication on recovery proceedings initiated against him.
The banks had blamed Mr Mallya of deliberately not revealing details of the payout while disclosing his assets and liabilities. They said the amount of US $40 million was instead transferred immediately as a gift to trusts set up for his three children.
Mr Mallya in his recall application contended that he had not committed any contempt of court. He argued that the disclosure of the assets was for the settlement of outstanding dues with the banks, and since no settlement was taking place he was not obliged to make disclosure, and consequently, there was no contempt. He contended since at least Rs 9,000 cr of properties had already been attached, it would not be possible to go for a settlement of dues with the banks.
Acting on a petition from banks, the court on July 29, 2016, had issued a contempt of court notice against Mr Mallya for non-disclosure of assets as per an earlier direction that he should disclose all assets held by him and his family.
He was told that he and those of his family in India and abroad could not claim immunity from disclosure of his assets to the consortium of banks.
