The Enforcement Directorate (ED) has filed fresh charges against businessman Vijay Mallya under the Fugitive Economic Offenders Ordinance in the the IDBI Bank-Kingfisher Airlines (KFA) bank loan fraud case, sources told Moneycontrol.
Mallya is the first person to be booked under the new regulation. The Prevention of Money Laundering Act (PMLA) court will now begin the process to declare Mallya a fugitive.
Sources said that Mallya's assets attached in relation to the Kingfisher Airlines bank loan fraud case will be auctioned under the new law.
The ED will also be able to attach all properties belonging to Mallya in India and abroad under the new law, they added.
Enforcement authorities have already attached more than Rs 6,000 crore worth of the beleaguered businessman's assets.
It was reported by PTI on Sunday that the ED was set to file a fresh charge sheet against Mallya and his companies on charges of money laundering and allegedly cheating a consortium of nationalised banks to the tune of Rs 6,027 crore.
The central probe agency was said to be seeking court's permission to "confiscate" more than Rs 9,000 crore worth assets of the beleaguered businessman and his firms under the recently promulgated Fugitive Economic Offenders Ordinance.
The ED had in 2017, filed its first charge sheet against Mallya, who is now in London, in the Rs 900 crore bank loan fraud case. It is said to have attached assets worth Rs 9,890 crore in this case till now.
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