The current scenario and background of Vijay Mallya case

1. Today’s Agenda
A money laundering and extradition case of Rs 9000Crores.
Vijay Mallya Fraud Case01
Group Members:
Maitry Dalal (05)
Shivangi Makhija (21)
Harsh Pavani (34)
Reshma Gandhi (38)
Priyanka Shah (43)

2. Background
Vitthal Mallya
-Polymer
-Battery
-Pharma
-Food
Different
Sectors:

3. Introduction of Vijay Mallya
Vijay Mallya Took over UBL group at the age of
27 years.
Company started at 40 Crores
He increased the turnover from 350 Crores to
6000 Crores

4. -Main potential was in Beer
and Liquor business only.
-Took the business at global
level.
Vijjay Mallya also invested in
newspaper business,
chemical business,
engineering

5. Purchasing IPL Team
Kingfisher Villa
Advertising
Strategy

6. KINGFISHER AIRLINES
Launched Kingfisher airlines in 2005, on
Siddharth Malaya's 18th Birthday.
2nd largest airline domestically (1/4th of
India’s share of domestic travellers),
Main attraction Luxury
40th richest person according to Forbes
2007
2007-thought of going internationally

7. Air Decan-Kingfisher Deal
Giving same facility at
low cost
- Acquired Air Deccan
for expansion
(Kingfisher Red) to play
on international
platforms
- Air deccan was known
as low cost airline
-Changed to Kingfisher Red
-Travellers shifted from
kingfisher to kingfisher Red

8. Contents Here
Lack of
Management
Increasing Fuel Prices
High Operational Cost
High Ticket Price
Economic Slowdown/ RecessionAcquisition for Expansion

9. Increase Debt Burdon
A
B
C
D
-Only Expansion
-No Profitability

10. Worsen Time for Kingfisher Airlines
FDI-ETIHAD
Non-Payment of employee salaries
Closed and License was cancelled
Landing charges,
Fuel charges

11. • Increasing Debt, increasing Salary.
•Decrease in revenues, Decrease in net worth
•Reduction In Aircrafts Drastically after crises

12. Falling in Stock Prices:
•Increasing Operating loss, net
losses and debt
•From Share price of 57.60-1.36
•From 2009-2015

13. Bank Loan Taken
15
PSU
3
PRIVATE
-Bank of Baroda
-IDBI
-PNB
-SBI
-Central Bank
-Etc
HDFC, ICICI and AXIS

14. Bank Wise Loses Shareholding of Different
Banks

15. High Losses of two PSU
LOAN-1600cr
Applied for 2nd time
loan
NOC given under
pressure
Loan -800 to
900cr
Gave even after non payment
of other banks loan

16. Debt Restructuring of HDFC and ICICI
.
- By Valuing Shares of
KFA at Rs 64.49 which
were trading at that
time at Rs 39.90
Converting Debt to
Equity shares of 1400 cr
DEBT
Restructuring

17. Exit Route
-Loan amount reached to 9000 cr,
offered banks Rs 6000 for waiving of
additional interest amaount.
-In March 2016, Vijay Mallya went Britain

18. Current Scenario
After the suit filled against Vijay Mallya in
previous year 2018 in April for the Money
laundering and is said as a wilful defaulter.
April Month2018
UK government approved the extradition of Vijay
Mallya.
2019
Vijay Mallya was Allowed by London Court to
appeal against extradition order.
2nd July2019
8th February

19. Indian banks win UK court order to seek details
of Vijay Mallya’s asset ownership.
23rd July2019
Vijay Mallya’s UK High Court extradition appeal
to be heard in February 2020
18th July2019

20. Thank You