Lenders of the beleaguered airline – Kingfisher, are finally looking forward to recovering a small part of their exposure, and closing a painful chapter in their lending history. All miscellaneous assets of the airline, including vehicles, etc. have now been put on e-auction, which will take place on Dec. 07 of this year.
Started by flamboyant liquor baron Vijay Malaya, the airline got into rough weather soon after takeoff, and notched up huge losses, forcing it to close shop in 2012, leaving employees and lenders literally stranded.
The banks have already taken over Kingfisher Villa in Goa (personal house of Malaya), and Kingfisher House in Mumbai (the head quarter of the airline) among other assets, giving them a recovery of around Rs.11 Billion from a total of 80 Billion owed to them.
It may be noted that a total of seventeen banks had lent to the airline, led by India’s largest bank – State Bank of India.
