Vijay Mallya’s Kingfisher firm car auction for the paltry sum of 14 lakh

Mumbai July 23:The SBICAP Trustee Company Ltd, the merchant banking arm of State Bank of India, will auction eight cars Vijay Mallya and his company Kingfisher airlines once owned for a paltry sum of 14 lakh.The trustee company has tried selling the Kingfisher House by reducing its price from Rs 150 crore to Rs 135 crore, but still found no takers.

The auction will be held on August 25 for cars that will give the bank Rs 13.70 lakh out of the Rs 6,963 crore he owes the bank.The bidder will have to deposit 10%of the car price before auction.

The last day for registering a bidding spot at the auction is August 23 and registration charges are Rs 2,000. The cars will be available for inspection on July 29 and August 5.

Price quoted on the Cars on offer are
Toyota Innova: Rs 2.50 lakh
Toyota Corolla: Rs 2.20 lakh
Honda City ZX: Rs 2 lakh
Honda City EXI: Rs 2 lakh
Honda Civic: Rs 1.80 lakh
Hyundai Elentra: Rs 1.30 lakh
Honda City EXI: Rs1 lakh
Hyundai Zip Drive: Rs 90,000

As of January 31, 2014, Vijay Mallya’s Kingfisher Airlines owed banks a staggering Rs 6,963 crore. All the banks have classified the loans as non-performing assets.

Several reports claim that SBI is owed the highest amount of Rs 1,600 crore.

The other banks are Punjab National Bank and IDBI Bank, which are owed around R800 crore each.

The loan amount from Bank of India is Rs 650 crore and from Bank of Baroda, it is Rs 550 crore.

Central Bank of India gave a loan of around Rs 410 crore, while UCO Bank has to recover Rs 320 crore.

Corporation Bank has to recover another Rs 310 crore.

Banks like State Bank of Mysore, Indian Overseas Bank, Federal Bank, Punjab & Sind Bank and Axis Bank also lent money to the company.