In Brief
State Bank of India and 13 other banks sought to recover over Rs. 6,203 crores from Kingfisher Airlines and its guarantors through proceedings before a Debt Recovery Tribunal. When the Tribunal was slow to act and the respondent (Kingfisher Airlines' Chairman) attempted to transfer assets, the Supreme Court directed him to disclose all assets in an affidavit. The respondent failed to disclose a bank account in Geneva through which US$ 40 million was transferred to trusts for his children, violating both the Supreme Court's disclosure order and an earlier High Court restraint order against asset transfers. The Supreme Court found the respondent guilty of contempt on both counts and directed him to appear in person for sentencing, noting that restraint orders apply to all property acquired after they were issued.
The lawyer headnote and full judgment text are available to registered users.