Mallya seeks access to funds

INDIAN businessman Vijay Mallya last Friday (11) made an urgent application before the UK high court seeking access to millions of pounds to cover his living expenses and legal fees from funds held with the Court Funds Office as part of bankruptcy proceedings.

Deputy Insolvency and Companies Court Judge Robert Schaffer declined to allow a draw down from the court-held funds estimated to be around £1.5 million, accrued from the sale of Mallya’s French luxury property Le Grand Jardin earlier this year, until further arguments in the case.

However, the judge allowed the release of £240,000 plus VAT to cover the legal costs of a substantive hearing in the bankruptcy proceedings scheduled for next Friday (18).

“...I will adjourn this hearing subject to one caveat that the fees for the hearing next week are covered,” concluded Judge Schaffer. The court heard Mallya no longer had any income from two consultancy agreements and therefore he had to resort to the money derived from the sale of his French property.