In a four-hour-long podcast episode with Raj Shamani, Vijay Mallya, the former owner of Kingfisher Airlines, spoke publicly for the first time since 2013. The episode was released on Friday. Mallya talked about the downfall of his airline and claimed that he always wanted to settle his dues with the banks.
Tried to Settle Many Times
Mallya claimed he made four different offers to settle the loans between 2012 and 2015. He said the banks refused his offers because they wanted the full amount of Rs 14,000 crore. He added that he met the chairperson of the State Bank of India (SBI) at a training academy and tried to make a deal, but it was not accepted.
Disputes on Loan Recovery Amounts
In February this year, Mallya’s lawyer told the Karnataka High Court that banks had already recovered Rs 6,200 crore. He said the government’s claim of Rs 14,000 crore being recovered was not accurate.
Charges and Legal Trouble
Mallya faces several charges, including cheating, criminal conspiracy, and money laundering. Kingfisher Airlines and some of his other companies are also accused of breaking corporate and financial rules. He has been living in the UK since 2016.
Apologizes to Employees
In a post on social media platform X, Mallya said he was sorry to all the employees of Kingfisher Airlines. He also said he wanted to set the record straight with facts and the truth.
What Went Wrong With the Airline?
Mallya said Kingfisher was not doing well financially and he wanted to downsize it. He claimed he went to then Finance Minister Pranab Mukherjee, who advised him to continue the operations as they were. He also clarified that Kingfisher did not borrow money directly from SBI. Instead, after merging with Air Deccan, SBI became involved because it had loaned money to Air Deccan.
Support From the Banks and FM
Mallya said 17 banks had given loans to Kingfisher after doing their own checks. He also said support from the then finance minister helped him get loans even when the airline didn’t meet normal standards. He thanked the banks for believing in his vision.
Mallya Defends Himself Strongly
He denied using Kingfisher Airlines' money for his personal lifestyle or hobbies like Formula 1 racing. He claimed he had personally put Rs 3,000 crore into the airline to keep it going. He reminded people that he had given personal and company guarantees for the loans.
“Does any thief ever give a personal guarantee?” Mallya asked during the podcast.
Support From Fellow Entrepreneurs
Mallya mentioned that entrepreneur Kiran Mazumdar Shaw had publicly supported him, saying he put everything on the line to save Kingfisher. He said that kind of support is often ignored and that people just believe the negative stories.
