In two separate orders last week, a special CBI court has directed attachment and restraint on 21 accounts held by Vijay Mallya and his associates in the United Kingdom and Switzerland. According to the order passed by the special court on July 12, the CBI had sought issuance of Letter of Request (LR) to competent authority of the UK on the amount lying in 17 accounts of Mallya and his associates — Rose Capital Venture, its sub-account, Drayton Resources, Black Forest Holdings, Harrison Finance Ltd, Balaji OneThree Gift Settlement, Balaji TwoThree Gift Settlement, Balaji ThreeThree Gift Settlement, Force India Formula One Team, Kingfisher Airlines, TSB Bank, Lloyds Bank, UBS AG London and BNP Paribas, HSBC Bank, London. The court has allowed the attachment and restrain of these accounts.
In the order passed on July 13, the court allowed the attachment or restrain of the amount lying in four accounts — one in the name of Mallya in Edmond De Rethchild (Suisse) SA Bank, Switzerland and three associated accounts of Drayton Resources, Black Forest Holdings and Harrison Finance Ltd in CBH Bank in Switzerland till further order. The court has also directed the issuance of LR to competent authority of the UK and Switzerland to carry out the investigation regarding the accounts. An LR has also been issued to the competent judicial authorities to execute the order.
The CBI had submitted before the court that Mallya had sought credit facility from IDBI Bank offering corporate guarantee of United Breweries (Holding) Limited and his own personal guarantee. The CBI alleged that the ‘significant part’ of the loan amount disbursed by various banks was pooled into the account of Mallya and Kingfisher Airlines maintained with Axis Bank.