NEW DELHI: Vijay Mallya, a liquor baron and business tycoon in India who is facing charges of loan default and has been staying in Britain, was on Saturday declared as Fugitive Economic Offender (FEO) by a special court.
Mallya is wanted for allegedly defrauding a consortium of banks to the tune of 9, 000 crore Indian Rupees (1.3 billion U.S. dollars).
He became the first person to be declared FEO under the Fugitive Economic Offenders Act which came into effect last year.
The decision was announced by a special court in Mumbai which ruled in favour of an application moved by the investigating agency Enforcement Directorate (ED), allowing it to seize all his properties under the new law.
Under the particular laws, any person who has travelled outside the country after committing an economic fraud and refused to appear before the court to face trial or those who have been issued non-bailable warrants could be declared as fugitive economic offenders.
According to media reports, the ED can now confiscate Mallya’s properties which are not directly related to the cases against him. It will include his properties in southern state Karnataka, Britain and others that are yet to be confiscated.