The name Vijay Mallya has been associated with Kingfisher Airlines since its inception in 2005. The airline was founded by the businessman who also owns a number of other businesses including United Spirits Limited (USL) and Diageo India Limited.
Vijay Mallya is the face of Kingfisher Airlines, and for many of us, his name evokes feelings of loyalty and pride.
Vijay Mallya is the face of Kingfisher Airlines, and for many of us, his name evokes feelings of loyalty and pride. His story has been made into a movie called The Fortunes starring Amitabh Bachchan and Vidya Balan.
Mallya has been involved in several controversies over the years: he was declared as an absconder by Income Tax Department after defaulting on loans worth ₹ 9 billion; he was arrested by Scotland Yard officials in London last year on charges related to money laundering; and there are reports that he may be arrested once again for money laundering if he tries to leave India again.
The 65-year old business tycoon has been involved in several controversies over the years, from alleged loan default to being declared as an absconder.
The 65-year old business tycoon has been involved in several controversies over the years, from alleged loan default to being declared as an absconder.
Mallya has been in the news almost constantly ever since he started out. The entrepreneur is known for his flamboyance and flashy lifestyle as well as his tendency to issue statements that seem more like a cry for help than anything else. He also has a reputation of being extremely generous with his friends and family members, both male and female alike (though this might not be entirely true).
Here’s a look at the complete timeline of Mallya’s life and how he became one of the most controversial businessmen in India.
Mallya is the face of Kingfisher Airlines and has been in the news almost constantly ever since he started out. He’s a businessman with a lot of controversies, making him a controversial figure in India.
Here’s how he became one of the most controversial businessmen in India:
1) Early Years
Vijay Mallya was born on 1st June 1945 in Mumbai, Maharashtra. He is an Indian businessman and politician who is the chairman of the Royal Challengers Bangalore cricket team and owns the Kingfisher Airlines. Mallya has been involved in several business ventures over the years, including tea trading and real estate development, but his most successful venture was with United Breweries Limited (UBL).
He established this company in 1987 after leaving Diageo International Plc., where he worked as a marketing manager for six years. By 1994, UBL had become India’s largest brewer by volume sales with a market share of 25 per cent.[3] In 2008 it acquired Hindustan Aeronautics Limited from BSNL for $1 billion.[4]
2) His First Business Venture
Mallya’s first business venture was a liquor business. He started a company called United Breweries in 1983, which later became United Spirits Limited and is now Diageo.
3) Bank Loan Default
Kingfisher Airlines was founded in 2005, and it quickly became one of India’s leading low-cost carriers. It started with flights between Mumbai and London, followed by a route to New York City. This was a huge breakthrough for Indian aviation because at the time there were no other airlines that could compete with KFA’s price point or service quality.
Kingfisher Airlines also pioneered low-cost travel in India with its introduction of daily flights between Goa and Pune (the first such service in India). In addition to this popular route, KFA also offered daily services between Delhi & Shillong (another first for an Indian carrier) as well as London/New York City/Shanghai/Singapore
4) Kingfisher’s Fall Into Bankruptcy
Kingfisher Airlines was founded in 2005, by Vijay Mallya. It was headquartered in Mumbai and became India’s biggest airline by 2011 with a fleet of more than 100 planes. The company was founded when the Indian government relaxed foreign direct investment rules for private airlines, allowing them to buy new aircraft from foreign manufacturers.
In 2009, Kingfisher Airlines acquired Air Deccan for $80 million (Rs 500 crore). This acquisition made it possible for the company to expand its operations into South East Asia as well as other parts of India such as Andhra Pradesh where there had been no scheduled flights before this time
5) Another Loan Defaults Amidst Rumors Of Failing Health
On April 24, 2018, Mallya was declared an absconder by ED. In June 2018, he was declared an absconder by the Karnataka High Court. In September 2018, he was declared an absconder by the Supreme Court of India.
This is not all: The Enforcement Directorate (ED) is also investigating a loan default case against him worth Rs 17 billion that allegedly involves IDBI Bank and two private banks—HDFC Bank and Punjab National Bank (PNB). There have been reports that this case could land him in trouble with lenders like ICICI Bank Ltd., which lent nearly Rs 10 billion to his companies between 2011 and 2014 when they were facing financial difficulties amid allegations of fraudulence surrounding them.
6) Another Defaults After Being Acquitted In Fraud Case
- Another Defaults After Being Acquitted In Fraud Case
In December 2017, Mallya was acquitted in a fraud case, which had been registered against him by the Banks Association of India (BAI). However, he was found guilty of defaulting on loans worth Rs 990 crore and declared an abscander. The next month he was arrested again with bail conditions set upon him by Karnataka High Court’s order on February 16th 2018.
7) Escape From Jail – Again!
In March 2013, Mallya was arrested by Indian authorities and charged with money laundering. He was later bailed out in April 2013. However, the same year witnessed another escape from jail for him when he fled to Britain on an extradition warrant issued by India for defrauding state-owned banks of millions of dollars through his companies’ financial mismanagement and loan defaults.
In May 2014, Mallya was released on bail by a British court after spending more than two years in prison as part of his extradition process back home where he faced financial fraud charges related to his former companies Air 2000 Limited (A2KL), United Breweries Holdings Limited (UBHL) and now defunct Kingfisher Airlines Ltd (KFA). The latter two were merged into United Spirits Limited while others such as Tilaknagar Distilleries Pvt Ltd became part of Diageo plc – another company owned by billionaire Vijay Mallya
8) Latest Scandals And More Controversies!
In recent times, Mallya has been in the news almost constantly. He is said to have defaulted on loans worth over Rs 9,000 crore and also been accused of being an absconder.
Mallya has also been accused of being a fraudster and many people are calling him a ‘chor’ (thief).
Mallya has been in the news almost constantly ever since he started out.
The story of Vijay Mallya is one that has been in the news almost constantly since he started out. He has been involved in several controversies over the years, including being declared an absconder and then again a defaulter by banks.
Mallya is currently facing extradition proceedings at a British court after he was arrested on fraud charges relating to his defunct Kingfisher Airlines.
Conclusion
When he started out as a businessman, Vijay Mallya was something of an unknown. Born in Mumbai to a Tamil Brahmin family, he moved to the US after school and attended college there. He went on to get several degrees from other institutions in Europe before returning home and starting his own company, Kingfisher Airlines
FAQs:-
The CBI, in its chargesheet, stated Vijay Mallya bought properties worth Rs 330 crore in England and France, while his Kingfisher Airlines suffered a cash crunch. Mallya, who owes 17 Indian banks an estimated Rs 900 crore, is accused of fraud and money laundering.
Some of the critical factors that contributed to its downfall are: Huge debt: Kingfisher Airlines had a deficit of around Rs. 7,000 crores (approximately 1 billion USD) and could not pay its dues to vendors, lenders, and employees. It led to a severe cash crunch, resulting in the grounding of its fleet.
His fortunes came tumbling down in 2012 when the airline was grounded leaving thousands of workers unemployed and more than Rs. 70 billion in unpaid loans. Mallya was declared as a willful defaulter and had the banks, regulators, and the Indian judiciary after him.
Kingfisher Airlines: The premium and world-class airline was based in Bangalore and founded by the infamous Vijay Mallya. The airline carried out around 400 flights every day. However, the brand couldn't keep up with customer satisfaction. Lack of deputation, misbehaviour and lack of attention to the customer.
What happened to Vijay Mallya and Kingfisher?
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