New Delhi: In a departure from its earlier stance, the consortium of banks is now willing to settle the loan default with Vijay Mallya-promoted Kingfisher Airlines even with lesser amount provided the government assures that it will not face any action from CAG, CVC and CBI.
According to a Times of India report, despite the sweetening offer by Mallya, bankers insist any settlement below Rs 9,000 crore needed the government's blessings or could come through a forum so that bank executives are not hauled up by courts or the Comptroller & Auditor General, Central Vigilance Commission or CBI.
"Given the high-profile nature of the case, it is difficult if we opt for a settlement below the Rs 9,000 crore that we have been demanding. But if the government provides protection, we can look at a deal," TOI quoted a senior bank executive as saying.
Meanwhile, the Service Tax Department is trying hard to sell off his personal jet to recover its over Rs 500 crore dues.
The Airbus plane, grounded for over three years and gathering dust in a lonely bay at the Mumbai airport, is among the many properties of the businessman that are on the block.
Reflecting the personalised ways of Mallya, once known as 'King of Good Times' and often criticised as being flamboyant, the interior of the plane has also got at multiple spots the winged horse perched over the bold initials 'UB' -- the logo of his UB group.
The pictures shared with the prospective bidders also show a bathrobe placed on a hanger inside a wardrobe.
The Airbus A319-133CJ is on the block with the condition 'As Is Where Is, As Is What Is, Whatever There Is and No Complaint basis'.
Meanwhile, lenders have also taken possession of the famous Kingfisher Villa in Goa, which banks say was pledged by Mallya as collateral for loans.
The banks so far have recovered over Rs 1,240 crore by selling shares and collaterals. Besides, more than Rs 1,200 crore is blocked in escrow accounts at the Debt Recovery Tribunal, Bengaluru, and the Karnataka High Court.
In April, the embattled businessman had told the Supreme Court that he was ready to repay up to Rs 6,800 crore.
Amid mounting pressure from lenders on the loan default, Mallya left the country in March, presumably for the UK, and since then, authorities have been making efforts to bring him back.
His passport has been revoked and there is also a non-bailable warrant against him.
He has been objecting to the 'fugitive' tag and said in a recent interview in London that he was in a "forced exile" and has now become "the king of bad times".
Mallya and Kingfisher Airlines owed Rs 7,800 crore to a consortium of 17 lenders led by State Bank which had an exposure of over Rs 1,600 crore to the now defunct airline. Since January 2012, the loan was not serviced.
Other lenders include Punjab National Bank, Bank of Baroda, Canara Bank, Bank of India, Central Bank of India, Federal Bank, Uco Bank and Dena Bank among others.
