The Vijay Mallya Scam- what led to the fall of "The King of Good Times"
The Vijay Mallya Scam
Vijay Mallya set out to transform and expand the UB Group after taking over post his father's untimely death
with his charming marketing skills, he made liquor a status of symbol rather than a taboo as it was perceived earlier
In 2005 he launched the Kingfisher Airline, which was premium service airline.
to fly international flights, he leveraged UBG to buy Deccan Air which was loss-making airline and merged it with Kingfisher Airlines.
All Luxuries provided by kingfisher Airlines came at a cost.
The debt burden made it impossible for the airline to continue operations
He took loans of Rs. 9000Cr from 17 Banks in India.
SBI has declared them as bankrupt, other banks kept lending him loans due to his political influence
The company also did not pay its employees as it eventually ran out of cash.
In 2012 the company had to shut down its operation.