Mallya to remain on bail in Britain over Christmas

Vijay Mallya, the former head of United Spirits, will spend Christmas and the New Year on bail in Britain, with the hearing into the Indian Government’s request for his extradition on charges of fraud and money laundering adjourned until January 10.

That is the date set by Westminster Magistrates Court for a continuation of the hearing, when it will focus on submissions from both the prosecution and defence teams on what evidence given to the court is admissible.

The Indian government’s case was completed yesterday when proceedings focussed on the prison conditions Mallya would face while awaiting trial in India trial.

The defence suggests that it will be impossible for him to have a fair trial, given the media frenzy over the case. There have also been press reports that Mallya fears he could be murdered in jail.

Asked how he felt the testimony had gone over the past two weeks, Mallya said: “I’m not saying anything until this is over.”

His defence team claims he is the victim of a political plot and that he never intended to mislead the Indian banks who say he owes them some £1.1bn as the guarantor of loans to his failed Kingfisher Airways, which collapsed into bankruptcy in 2012.

In a separate London court Mallya is appealing against an order freezing his assets worth £1.15 billion imposed after 12 Indian banks filed an action on November 23.

That case, separate from Mallya’s ongoing extradition trial, will come up for a two-day hearing in April.

The claim cited an order by Bengaluru’s Debt Recovery Tribunal. The subsequent “freezing order” prevents Mallya and his firms from removing the assets from the UK up to a limit of £1.15 billion.

The claim was filed in the British High Court by State Bank of India, Bank of Baroda, Corporation Bank, Federal Bank, IDBI Bank, Indian Overseas Bank, Jammu & Kashmir Bank, Punjab & Sind Bank, Punjab National Bank, State Bank of Mysore, UCO Bank, United Bank of India and JM Financial Asset Reconstruction Company.

As part of its ruling, the London court has ordered that Mallya must live on £5,000 a week rather than the £20,000 he claims he needs.