Friday 19 December 2014

Vijay Mallya’s Private Jet Up For Sale

Vijay Mallya, former boss of Kingfisher Airlines may also lose his private jet as Mumbai International Airport (MIAL), where the aircraft is parked, deciding to sell the mid-sized corporate jet.

MIAL issued a newspaper advertisement on Friday, seeking an Expression of Interest for the purchase on an ‘as is where is’ basis. MIAL and UB Group did not respond on the topic and the nature of the dispute between the two groups leading to the decision to sell the aircraft is not known.

Under Section 8 of the Aircraft Act, 1934, airport operators can detain planes but a court order is required to seize and sell an aircraft in case of default in payment, sources said.

The nine-seater HS 125-700B aircraft is a 30-year-old plane registered in the name of Shaw Wallace and Company, Kolkata, according to the Directorate General of Civil Aviation (DGCA) records. The aircraft was earlier owned by EIH (Oberoi group). Mallya’s UB Group acquired Shaw Wallace in 2005 and is now a part of United Spirits.

Kingfisher Airlines faced difficulties in paying suppliers and airports and was eventually grounded with its aircraft being repossessed by lessors. According to DGCA records, Kingfisher still has five ATRs, one Airbus A319 private jet flown by Mallya, and two EC-155B1 helicopters registered in its name.





No comments:

Post a Comment