The Enforcement Directorate (ED) tells the Bombay High Court that recovery of Vijay Mallya-linked assets by banks does not end the criminal proceedings or money-laundering case under the Prevention of Money Laundering Act (PMLA). In an affidavit, the ED rejects Mallya’s argument that the case should be closed after banks recover substantial amounts from restored properties.
The ED says restitution through restoration mechanisms is separate from determining whether the alleged “scheduled offence” and money-laundering offence were committed. It points to assets valued at about Rs 14,131.6 crore (as of August 2021) that were restored to an SBI-led consortium of banks following orders of a special PMLA court, and argues this does not make the prosecution infructuous.
Across the reporting, the core dispute is whether asset restoration and bank recovery automatically render the PMLA prosecution unnecessary. The ED also emphasizes that Mallya remains outside India, including reference to his status as a proclaimed offender and fugitive economic offender, and that he continues to avoid facing pending proceedings.
