Mumbai: Grounded carrier Kingfisher Airlines, founded by flamboyant liquor baron Vijay Mallya, said on Tuesday it had handed over possession of a property to a group of lenders to which it owes about $1.5 billion.
Kingfisher, once India's second-biggest airline, stopped flying more than two years ago for want of cash, leaving its creditors, mostly state-run banks, and suppliers with pending dues.
The lenders had been trying to take possession of Kingfisher House in Mumbai for nearly two years, but the takeover had been delayed by legal issues. A Mumbai court this month ordered Kingfisher to hand over the property to a group of bankers.
Kingfisher House, once the airline's headquarters, is estimated to be worth about $15 million, a fraction of what the lenders are owed.
25/02/15 Reuters/First Post
To Read the News in full at Source, Click the Headline
Kingfisher, once India's second-biggest airline, stopped flying more than two years ago for want of cash, leaving its creditors, mostly state-run banks, and suppliers with pending dues.
The lenders had been trying to take possession of Kingfisher House in Mumbai for nearly two years, but the takeover had been delayed by legal issues. A Mumbai court this month ordered Kingfisher to hand over the property to a group of bankers.
Kingfisher House, once the airline's headquarters, is estimated to be worth about $15 million, a fraction of what the lenders are owed.
25/02/15 Reuters/First Post
