Mallya moves SC against ED’s criminal proceedings
Mr Mallya has challenged the Delhi High Court order, which had rejected his plea challenging the criminal proceedings for alleged ‘wilful’ disobedience of summons issued by ED over seven years ago.
By TNN |
NEW DELHI: Liquor baron and UB Group chief Vijay Mallya has moved the Supreme Court seeking quashing of criminal proceedings initiated against him by the Enforcement Directorate (ED) in an alleged Foreign Exchange Regulation Act (FERA) violation case.
Mr Mallya has challenged the Delhi High Court order, which had rejected his plea challenging the criminal proceedings for alleged ‘wilful’ disobedience of summons issued by ED over seven years ago.
The directorate had alleged that Mr Mallya violated FERA provisions while arranging funds for advertising his liquor products abroad a few years ago. It wanted to interrogate him in connection with a contract signed in December 1995 with a London-based firm Benetton Formula for promotion of his Kingfisher liquor brand abroad.
Mr Mallya had allegedly paid $200,000 to the British company for displaying his Kingfisher beer logo in Formula One World Championships to be held in London and some European countries in 1996, 1997 and 1998. The money was allegedly paid without prior approval from RBI, a violation of FERA.
In his appeal before the apex court, Mr Mallya has stated that the HC failed to appreciate that the summons were not duly served as per the relevant rule. The fourth summon was sent by SpeedPost, which was not a prescribed mode of service of summons, he added.
The petitioner further said the adjudicating officer of the ED in his order, dated January 10, 2002, had fully exonerated both Mr Mallya and his company of any material breach of FERA provisions. Framing charge against Mr Mallya for his non-appearance before ED, the HC rejected his plea observing that “no person, however high, mighty, wealthy and influential he might be, is above the law and can treat the judicial proceedings with contempt.”
Mr Mallya has challenged the Delhi High Court order, which had rejected his plea challenging the criminal proceedings for alleged ‘wilful’ disobedience of summons issued by ED over seven years ago.
The directorate had alleged that Mr Mallya violated FERA provisions while arranging funds for advertising his liquor products abroad a few years ago. It wanted to interrogate him in connection with a contract signed in December 1995 with a London-based firm Benetton Formula for promotion of his Kingfisher liquor brand abroad.
Mr Mallya had allegedly paid $200,000 to the British company for displaying his Kingfisher beer logo in Formula One World Championships to be held in London and some European countries in 1996, 1997 and 1998. The money was allegedly paid without prior approval from RBI, a violation of FERA.
In his appeal before the apex court, Mr Mallya has stated that the HC failed to appreciate that the summons were not duly served as per the relevant rule. The fourth summon was sent by SpeedPost, which was not a prescribed mode of service of summons, he added.
The petitioner further said the adjudicating officer of the ED in his order, dated January 10, 2002, had fully exonerated both Mr Mallya and his company of any material breach of FERA provisions. Framing charge against Mr Mallya for his non-appearance before ED, the HC rejected his plea observing that “no person, however high, mighty, wealthy and influential he might be, is above the law and can treat the judicial proceedings with contempt.”
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