Vijay Mallya’s offer rejected by the Lenders

In an interesting development on the Kingfisher airlines saga, the lenders have conveyed their decision to Kingfisher airlines and legal counsel of Vijay Mallya, rejecting the offer of Rs. 4000 crores made by beleaguered businessman last week. However the Lenders have clearly expressed intention of recovering at least Rs. 7,500 crores and Rs. 4,000 crores is too small an amount to reach amicable solution. Bankers have demanded that the repayment of Rs. 5,000 crore which is the actual principal outstanding and Rs. 2,500 crores which is the part of interest accumulated, be promptly paid by Vijay Mallya.

Only last week Vijay Mallya had submitted a detailed repayment strategy to the lenders through Supreme Court, in which he has mentioned his ability to pay off Rs. 4,000 crores of loans and another Rs. 2,000 crores if he wins a case against Airbus Industries.

By demanding Rs. 7,500 crores Lenders have definitely hinted at resolution to this bad loans issues which has caught eyes of the Nation. Vijay Mallya has also been suspected of malfeasance by enforcement directorate. Vijay Mallya is believed to be in London currently and is expected to appear before the investigative agency on April 9.