UBS Group AG, the largest Swiss banking institution in the world, is trying to foreclose on a $26.6 million mortgage loan on Vijay Mallya’s London house. A full trial is scheduled to begin in May, as reported by Mint.
Rose Capital Ventures, based in the British Virgin Islands and owned by a Mallya family trust, took out the mortgage and hasn’t paid it back yet.
“At the end of the day we are simply saying you haven’t paid your mortgage loan, as per the term; therefore we seek a remedy given to us, which is a possession,” UBS attorney Thomas Grant told a London court Monday.
Lawyers for Mallya say UBS called the mortgage in early after giving them an expectation that the bank wouldn’t do so. They explain this was why they were unable to repay the loan.
UBS says it called in the loan early (June 2016), due to the twin reasons of Mallya being identified as wilful defaulter over Kingfisher Air and the five-year loan expiring in March 2017.
The case is among the latest of London lawsuits that the former billionaire is fighting, with his legal problems amounting to 1 billion pounds in loans that he took for his now defunct Kingfisher Airlines that led to civil lawsuits and fraud charges, in India and the UK.
After being arrested in London in April 2017, he is fighting to block extradition to India on the fraud charges. “The King of Good Times” as he was once called, Vijay Mallya is now grappling with civil suits.