(MENAFN- AFP) India's top court on Wednesday was set to hear a petition to prevent heavily indebted liquor baron Vijay Mallya from leaving the country, as reports said he had already flown out.
A group of mainly state-run banks have filed action in the Supreme Court to prevent his departure in stepped up efforts to recover more than $1 billion from the beleaguered businessman in unpaid loans.
Mallya announced last month he planned to move to Britain to be closer to his children after stepping down as the chairman of United Spirits, the Indian arm of Britain's Diageo, following allegations of financial lapses.
The flamboyant 60-year-old formerly known as the "King of Good Times" has been deep in a financial fight over his now-defunct Kingfisher Airlines, which owes hundreds of millions to the banks and other creditors.
But Wednesday's action in the Supreme Court may come too late, with the Times of India and Mint newspapers quoting unnamed sources as saying he left the country "a few days ago".
Repeated calls by AFP to Mallya's mobile and those of his representatives went unanswered on Wednesday.
In an emailed statement to media on Sunday, Mallya said he had no plans to run away from his creditors, adding he was hurt the press was painting him "as an absconder".
The court action comes after an Indian tribunal on Monday blocked a $75 million severance payout from Diageo to Mallya at the request of the group of banks who are seeking the money.
The consortium, led by the State Bank of India (SBI) has also sought Mallya's arrest and confiscation of his passport. But the debt recovery tribunal and the High Court in southern India, where a separate petition has also been filed, have yet to rule on those requests.
At his height, the liquor baron was nicknamed "India's Richard Branson", but his empire later began to crumble under the weight of Kingfisher's losses.
Last year, the SBI declared the tycoon a "wilful defaulter" for not repaying loans made to Kingfisher Airlines, which was grounded in 2012.
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