Vijay Mallya resigns; Rajya Sabha ethics panel recommends expulsion

A day after liquor baron Vijay Mallya resigned from the Rajya Sabha, an ethics committee of the upper house today recommended that he be expelled. The chairman of the Rajya Sabha will take a final decision on the matter.

Mallya, who is wanted in India as he owes a reported (Rs9,000 crore ($1.4 billion) in loans to his failed Kingfisher Airlines, had sent in a resignation letter on Monday, as he remains out of India.

In his resignation letter sent from London, he had said that he did not want his name and reputation to be "further dragged in the mud".

 "Since recent events suggest that I will not get a fair trial or justice, I am hereby resigning as a member of the Rajya Sabha with immediate effect," the letter had added.

Mallya, who made his money in the liquor business, has made it clear that he has no plans to return to India. In a tweet this morning, he also denied that he was a defaulter.

"Agree Kingfisher Air owes money to banks. I am neither a borrower nor a judgement debtor. Why am I a defaulter in spite of a settlement offer?" he tweeted.

 India has asked the UK to deport Mallya, who moved there on 2 March. His diplomatic passport was revoked in April and an arrest warrant is out for him in a money laundering case.

A consortium of 17 banks has also approached the Supreme Court seeking repayment of the in loans given to Kingfisher Airlines.

In recent weeks, the government has stepped up efforts to get back the 60-year-old tycoon, who triggered outrage when he left India despite facing probes by the Enforcement Directorate and the Central Bureau of Investigation.

Mallya is learnt to have claimed that his net assets underwent no change during his 10 years as an MP of the Rajya Sabha. He has also said that moves to arrest him or revoke his passport will not help his creditors get back their money.