The case involves some senior level officials of the IDBI bank, who are accused of colluding with the Mallya to get the massive loan for his company despite his airline’s negative credit ratings and net worth.

Vijay Mallya

The Central Bureau of Investigation (CBI) on Thursday questioned liquor baron Vijay Mallya for his role in the sanctioning of Rs 900 crore loan in favour of Kingfisher Airlines, which was in violation of banking norms.The case involves some senior level officials of the IDBI bank, who are accused of colluding with the Mallya to get the massive loan for his company despite his airline’s negative credit ratings and net worth.According to officials, Mallya, who is also the chairman of the UB group and a Rajya Sabha member, landed in Delhi for the investigation, and was grilled by CBI sleuths at the Lodhi road headquarters of the agency for several hours.<!– Dna_Article_Middle_300x250_BTF –>Sources told dna that investigators are keen on getting to IDBI officials to question them for their alleged role in loan defaults of the Kingfisher Airlines, which caused a massive loss of approximately Rs 900 crore to the bank.Mallya, who was the director of the now defunct airline, was named as an accused in the case along with A Raghunathan, the CFO of Kingfisher Airlines. According to CBI, an internal report had recommended against granting of loan while questioning the credit worthiness and net worth of the airlines, which eventually went down under.In October, CBI registered a case against the two and some unknown officials of the IDBI bank and booked them under section 120-B (criminal conspiracy), 409 (criminal breach of trust by public servant) of Indian Penal Code and under appropriate sections of Prevention of Corruption Act 1988.The probe agency had conducted searches on Mallya’s residences and his offices across India and claimed to have recovered incriminating documents.”It is alleged that officials of IDBI colluded with the promoters/directors and CFO of Kingfisher Airlines and sanctioned credit limits of 900 crore rupees in violation of banking norms, thereby causing loss to the said bank by such fraudulent act,” CBI officials said.According to the agency, Raghunathan might be the next in line for questioning, following which CBI would approach IDBI banks to question officials that are under scanner for their alleged role in the case.

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CBI questions Vijay Mallya on Rs 900 crore Kingfisher loan