On Thursday, the Bombay High Court laid down the law for fugitive businessman Vijay Mallya, refusing to hear his appeal against the fugitive economic offender label unless he returns to India first. The panel of judges clearly warned his lawyers that he must subject to the country’s jurisdiction, with no virtual hearings or dodges permitted.
Court Demands Physical Return for Hearing:
Chief Justice Shree Chandrashekhar and Justice Gautam Ankhad gave Mallya “one last chance” to file an affidavit stating if and when he plans to come back, posting the matter to February 18. “You have to come back… if you cannot come back then we cannot hear this plea,” the judges said, warning against avoiding court process while seeking benefits.
The court confirmed its December 2025 position, insisting on Mallya’s personal presence before considering the Enforcement Directorate’s 2020 judgment naming him a fugitive under the Fugitive Economic Offenders Act for Kingfisher Airlines’ Rs 9,000 crore loan default. Solicitor General Tushar Mehta slammed Mallya for fighting debt claims abroad while avoiding Indian courts. Mallya fled India in 2016 amid investigations and is now in London, fighting extradition in the final stages. Mehta highlighted that the government is opposing his UK petitions, describing the timing as a stall tactic ahead of his expected return.
Roots in Kingfisher Loan Collapse:
Kingfisher Airlines collapsed in 2012 after receiving Rs 9,000 crore from a 17-bank consortium led by SBI, with Mallya accused of siphoning funds through shell companies and personal benefits. Banks recovered more than Rs 14,000 crore through asset sales, but the ED continues to pursue laundering accusations. The CBI issued non-bailable warrants in the Rs 180 crore India Overseas Bank fraud and the Rs 900 crore IDBI case. According to investigations, ED attached assets worth Rs 14,131 crore, including farmhouses, flats, and shares in UBHL and USL, as criminal proceeds. Mallya says that recoveries far surpass dues and has petitioned the Karnataka High Court for bank statements. His insolvency appeals were denied by a London court, and extradition is pending a decision from the Home Secretary.
Legal Battles Across Borders:
A Bombay High Court case challenges the FEOA tag, alleging over-recovery and procedural errors. Judges, however, place a premium on appearance; Mehta urged Mallya to “trust India’s law,” as he cannot choose which forums to use. The identical demand was made in the December hearing: provide an affidavit explaining return plans or risk termination. Mallya evaded, which led to the harsh reminder and new instruction on Thursday. The Supreme Court rejected an appeal after UK courts twice approved extradition; a political nod would clear the way. Mallya vows to continue fighting and regrets the political witch hunt.
Implications for Fugitive Probes:
The ruling establishes a precedent: illegal immigrants cannot use the FEOA, which was passed in 2018, to have their assets seized without being extradited. Thanks to Mallya’s tag, shares and properties were able to recover Rs 9,735 crore. Banks closed books on an IDBI loan of Rs 6,203 crore through settlements, while criminal investigations are still pending. With the knot tightening and extradition approaching, HC’s line pressures return. The courts require presence before Mallya Rails may recover more than Rs 15,000 crore against a principle of Rs 6,200 crore. Showdown: affidavit or dismissal is coming on February 18. The story of Mallya, a former liquor magnate and Rajya Sabha MP, endures as a representation of obstinate defaulters using a weapon of mass destruction. The HC position highlights the lack of safe havens for debt evaders.
