A Delhi Court on Wednesday (April 12) issued an open-ended non-bailable warrant against absconding businessman Vijay Mallya for allegedly evading summons in a Foreign Exchange Regulation Act (1995) violation case.
Chief metropolitan magistrate Sumit Dass issued the order after the Enforcement Directorate (ED) submitted that non-bailable warrant issued by the court in November 2016 has not been executed and it needs more time to do so.
The FERA violation case
The ED said that Mallya had violated FERA while arranging funds to advertise his liquor products abroad over a decade ago. According to reports, Mallya had signed a contract with London-based firm Benetton Formula in December 1995 for promotion of Kingfisher abroad.
Mallya had allegedly paid 200,000 dollars to the British firm for displaying the Kingfisher logo in Formula One World Championships in London and some European countries in 1996, 1997 and 1998.
The agency had claimed that the money was allegedly paid without prior approval, which violated FERA norms.
While the court has put up the matter for next hearing on November 8, it has asked the agency to file a progress report within two months.