SC issues notice to ED on Mallya's challenge to fugitive economic offender tag: report
07 December 2018
The Supreme Court today issued notice to the Enforcement Directorate (ED) on a complaint filed by industrialist Vijay Mallya challenging proceedings in a Mumbai court to declare him a fugitive economic offender.
A bench comprising Chief Justice Ranjan Gogoi and Justice S K Kaul sought the probe agency’s response to the plea, say reports.
The ED moved the special court seeking to declare the London-based industrialist a fugitive economic offender under the Fugitive Economic Offender Act 2018.
The apex court, however, refused to stay proceedings before the Mumbai special court. The Bombay High Court recently dismissed Mallya’s appeal. The industrialist has filed an appeal against the high court order.
Under the provisions of the Act, once a person is declared a fugitive economic offender, then the prosecuting agency will have powers to confiscate the accused persons’ properties.
The special court had on 30 October rejected Mallya’s application, following which the liquor baron approached the high court.
Mallya’s counsel had told the division bench that his pleas should not be misunderstood as a ploy to run away from proceedings.
“We are also anxious to clear dues and to see to it that creditors get their dues back. We don’t want properties to be seized by the Enforcement Directorate, which would then hamper process of clearance of dues,” his counsel had said.
The high court, however, said it was not inclined to grant any relief. “The application has been filed at the threshold and at a very premature stage when the lower court is still hearing the prosecuting agency’s request to declare him (Mallya) a fugitive economic offender,” the court had said in its order.
The bench, while dismissing the plea filed by Mallya, had said the lower court shall hear the application filed by the ED on merits.