December 18, 2024 - Finance Minister (FM) Nirmala Sitharaman today said that Rs 14,131.6 crore have been returned to various public sector banks (PSBS) recovered from the sale of fugitive businessman Vijay Mallya’s assets as part of Mallya’s substantial debts.

Speaking in the Lok Sabha, Sitharaman said properties worth more than Rs 22,280 crore have been restored by the Enforcement Directorate (ED) to the victims under Prevention of Money Laundering Act (PMLA). This includes Rs 1,053 crore of diamond merchant Nirav Modi which have been restored to PSBs and private banks. Additionally, in the Mehul Choksi case, who is now living in Antigua and Barbuda after fleeing the country, properties worth around Rs 2566 crore have been attached by ED and will be auctioned. Choksi is wanted by the Indian authorities for criminal conspiracy, criminal breach of trust, corruption and money laundering.

The ED has also restored more than Rs 17 crore worth properties to investors who had been cheated in the National Spot Exchange Ltd. case.

Sitharaman said in a statement to the Lok Sabha this morning said: “The Enforcement Directorate (ED) has made significant progress in restoring assets to the legitimate owners of properties under the legal framework of PMLA, which stipulates that assets may be returned to bona fide claimants once trial commences, specifically after charges are framed by the special court.”

"In money laundering cases, the ED has successfully restored properties valued at Rs 22,280 crore... we have not left anyone. Even if they fled the country, we have gone after them” the Finance Minister further said, adding "... it is important to recognise we have not left (out) anybody. We will make sure the money... which has to go back to banks... will go back.” 

Vijay Mallya, who was member of the Rajya Sabha, is the primary accused in a bank loan default case and fled India in 2016. The Indian government has put in an extradition request with the UK government to extradite him. Nirav Modi is an Indian-born Belgian business who is wanted by Indian authorities for defrauding the Punjab National Bank.