Earlier, eight attempts to auction Kingfisher House had failed.
The headquarters of Vijay Mallya’s company Kingfisher, who fled abroad after embezzling thousands of crores of rupees from banks, has finally been sold. It has been bought by a Hyderabad based real estate firm for Rs 52 crore. Earlier, Vijay Mallya’s creditors had tried to sell the property, but its reserve price was set so high that no deal was struck.
Let us tell you that earlier eight attempts to auction Kingfisher House had failed. In March 2016, banks set their reserve price at Rs 150 crore. And this is the main reason why the property has not been sold till now. Talking about this building, this building has three floors and its total area is 1586 square meters. While the entire plot is of 2402 square meters. According to sources, the property is located outside the Mumbai airport and was overvalued by banks.
Significantly, to keep Kingfisher Airlines afloat, Mallya had borrowed Rs 9,990 crore from banks. After the company’s condition deteriorated and the airlines were also closed in 2012, Mallya could not repay the loans of the banks. After this Mallya fled to London. In July, the London High Court declared Mallya bankrupt and the government is working to bring him back to India.