Vijay Mallya on unpaid salaries of Kingfisher staff: ‘There was money, banks objected’

Vijay Mallya recently opened up about the unpaid salaries of Kingfisher Airlines staff and offered public apology to his former employees. Addressing the issue in a recent podcast with YouTuber Raj Shamani, he claimed that he made efforts to disburse pending staff salaries, however legal proceedings in the case did not permit him to make the move.

The 69-year-old businessman accused of alleged bank loan fraud said, “I would say, I am deeply sorry for what happened… I am deeply sorry that some of them didn't get paid their salaries, I have no excuses to offer, I take full responsibility but for those who care to listen, there was money lying in the deposit with the Karnataka High Court.”

The former RCB owner added, “I specifically applied to court to pay the salaries of Kingfisher Airlines staff, the banks objected, and the court refused the permission. There was really nothing I could do beyond that.”

Vijay Mallya gave this answer in response to Raj Shamani's question, “What would you say to them (Kingfisher Airlines employees) who lost their jobs, who still hold angst against you.”

In the podcast, Vijay Mallya described the impact of 2008 economic crisis on his business and claimed that he had approached the Finance Minister Pranab Mukherjee. At the heels of the global financial crisis, he had suggested downsizing the operations of his business and to lay off employees, alleging that he was unable “to operate under these depressed economic circumstances.” However, his request was snubbed, and he was asked to ensure air connectivity.

During the time aviation sector was badly hit, he was asked to abstain from any layoffs and was offered support from banks for continued operations. “I was told not to downsize King Fisher at that time and yes the banks did support,” Mallya said.

The liquor baron, who fled India in 2016 after being accused in a bank loan default case of over ₹9,000 crore, said that he's willing to return to India if he is assured of a fair trial.