ED to sell large chunk of Vijay Mallya's unpledged shares in United Breweries to raise over Rs 4,000 cr

Vijay Mallya's shares were transferred to ED by the Stock Holding Corporation of India under the Prevention of Money Laundering Act (PMLA)

FP Staff January 19, 2018 11:54:21 IST
ED to sell large chunk of Vijay Mallya's unpledged shares in United Breweries to raise over Rs 4,000 cr

Mumbai: The Enforcement Directorate (ED) plans to raise over Rs 4,000 crore by selling off a large part of unpledged shares owned by fugitive liquor baron Vijay Mally ain United Breweries. This amount is nearly half of the money Mallya owes to lenders, according to a report in The Economic Times.

ED to sell large chunk of Vijay Mallyas unpledged shares in United Breweries to raise over Rs 4000 cr

Defaulter businesmman Vijay Mallya.

Officials close to ED told the ET that it had secured custody of 4 crore unpledged shares. This constitutes to about 15.2 percent stake that Mallya owns in United Breweries. The shares were transferred to ED by the Stock Holding Corporation of India under the Prevention of Money Laundering Act (PMLA), sources told the ET. The remaining 27 lakh shares will be soon transferred, the report said.

The shares will be sold under section 9 of the PMLA, the report said, As per the Act, after an order of confiscation, all the rights and titles in such assets rest with the Centre. Mallya's shares are estimated to be Rs 4,327 crore, as per Thursday's closing price which stood at Rs 1,081.85, the Moneycontrol said.

 

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