F1: Mallya Used Force India and RCB for Laundering

According to a chargesheet submitted by the Enforcement Directorate, Dr Vijay Mallya used his Force India F1 Team (private company registered in London) and Royal Challengers Bangalore (IPL team) for money laundering.

A year ago, the ED had filed the first chargesheet against him and eight others for defrauding IDBI Bank of Rs 900 crore and laundering it.

The latest chargesheet says that Mallya’s Kingfisher Airlines took a loan of Rs 6,027 crore from the consortium. This includes interest till May 15, 2018, the amount becomes Rs 9,990 crore. The loan was on personal guarantee of Mallya, corporate guarantee of UB Holdings and inflated brand guarantee of Kingfisher Airlines. It was taken for operational expenses of Kingfisher Airlines but was used for other purposes, including procurement of charted aircraft for Mallya’s personal use.