Mallya doesn't appear before ED, 3rd time in row

MUMBAI: The Enforcement Directorate is likely to decline Vijay Mallya's plea for extending till May-end the deadline set for him to appear before the agency, setting the stage for tough measures, including revocation of passport, against the controversial liquor baron.Mallya failed to appear before the ED for the third time on Saturday and sought time till May to depose before it in connection with the money laundering probe in the over Rs 900-crore IDBI loan fraud case.ED sources said the request of the flamboyant businessman for exemption from personal appearance is unlikely to be accepted, and that the agency may explore options, including approaching court for cancellation of his passport. "In our view, non-cooperation with the probe constitutes a valid ground for scrapping the passport," said a source. He also said the agency will also move court for a non-bailable warrant against Mallya and follow it up, in case he still does not turn up to face the probe, by getting a red corner notice issued against him.After the third summons, the ED generally approaches court to issue a non-bailable warrant against the accused.The possibility of coercive measures being used against Mallya reflects the government's tough stance. PM Narendra Modi has over the past fortnight repeatedly stressed in public that he would ensure that those who have defaulted on bank loans are not spared and made to return each rupee they owe to public institutions.Mallya has been at the centre of a fight between Congress and BJP, with the former accusing the Centre of letting him leave the country. The government and BJP have denied the charge, pointing out that it was under Congress-led UPA that public sector banks extended loans to Kingfisher Airlines, defying red flags raised by auditors about its finances.The businessman communicated to the ED via email, urging them to exempt him from appearance till May-end citing his ongoing court case and negotiations with banks. The ED will take a decision on his request on Monday.Mallya was first summoned by the ED to "appear in person" at its office in Mumbai on March 18, but he sought more time citing his prior engagements, following which the agency had asked him to depose on April 2. The third summons was for April 9.The ED has registered a case under the Prevention of Money Laundering Act (PMLA) against Mallya, A Raghunathan - ex-CFO of the now-grounded Kingfisher Airlines - and four unknown officials for fraudulently obtaining a Rs 900-crore loan from IDBI bank and laundering the money. The ED has questioned Raghunathan several times and wants to quiz Mallya about the money.In March, a consortium of 17 banks, led by SBI and including IDBI, had approached the Supreme Court against Mallya, who owes more than Rs 9,000 crore to them.The SC has asked Mallya to declare all assets by April 21 and also inform when he could appear before it. It also directed him to deposit a "substantial amount" with it to "prove his bona fide". Mallya's counsel did not rule out the liquor baron's return but said currently there were "some problems" with his returning home.