Vijay Mallya Loses UK Appeal Against Bankruptcy Over £1 Billion Debt

London High Court Upholds 2021 Bankruptcy Order; Mallya Vows to Continue Legal Fight Amid Ongoing Extradition Battle

LONDON, April 9: Fugitive Indian businessman Vijay Mallya has lost his latest legal bid in the UK, as London’s High Court on Tuesday rejected his appeal against a 2021 bankruptcy order linked to debts exceeding £1 billion ($1.28 billion) owed to a consortium of Indian banks, including the State Bank of India (SBI).

Mallya has been entangled in multiple legal battles since the collapse of his airline, Kingfisher Airlines, in 2012. The businessman had personally guaranteed the airline’s massive loans, leading a group of Indian lenders to obtain a judgment worth over £1 billion in 2017. That ruling was registered in the UK later the same year, forming the basis for the bankruptcy order issued in 2021.

In February 2024, Mallya appealed the order, claiming through his legal team that the banks had already recovered sufficient assets to settle the debt. However, Judge Anthony Mann dismissed the argument, stating in his written decision: “The bottom line … is that the bankruptcy order stands.”

Mallya’s lawyers have indicated that he will continue to pursue legal avenues to overturn the ruling.

Meanwhile, Mallya also remains at the center of a separate extradition case related to fraud and money laundering charges in India. Though the UK approved his extradition in 2020, Judge Mann noted that the order “has still not been enforced,” adding that Mallya continues to resist extradition on other unresolved grounds.

Once a high-flying tycoon and co-owner of the now-defunct Formula One team Force India, Mallya has seen his fortunes tumble as legal troubles mount both in the UK and India.