CBI likely to file more FIRs into Kingfisher Airlines loans

12 Oct 2015

The Central Bureau of Investigation (CBI) is likely to register more FIRs into alleged loan defaults of Kingfisher after it found that the Vijay Mallya-owned airline had allegedly diverted a substantial chunk of Rs4,000 crore in loans secured from public sector banks to tax havens.

The CBI has expanded its probe in the matter and is likely to register more FIRs to bring into the ambit of probe the additional Rs3,100 crore loans from 10 other nationalised banks on which the company has allegedly defaulted, turning them into non-performing assets, CBI sources said.

The present FIR against the company is related to Rs900 crore of bad loan from IDBI bank but more FIRs may be registered to probe exposure of other public sector banks, according to reports.

Reports quoting CBI sources said the agency has received prima facie input which indicates that the company has allegedly diverted about $200 million from these loans to two "tax haven" countries which will be probed during the course of investigations.

CBI, however, did not reveal the countries to where the airline made these transfers.

"There was no need for the bank to take the exposure outside the consortium when already other loans were getting stressed," a senior CBI official, probing the matter, is reported to have said on the IDBI loan.

Last week, CBI has registered a case against Vijay Mallya, director of defunct Kingfisher Airlines, the company, A Raghunathan, chief financial officer of the airlines, and unknown officials of IDBI Bank in connection with alleged default of over Rs900 crore loan from the bank.

It is alleged that the loan was sanctioned in violation of norms regarding credit limits.

CBI had carried out searched at the offices and residence of Mallya in Mumbai, Goa, Bangalore and other places.