UBI recently declared the grounded airline and Mallya as wilful defaulters for non-payment of dues worth Rs 400 crore.
Excerpts from Business Lunch on CNBC-TV18 Watch the full show »
Strongly denying United Bank of India ‘s (UBI) wilful defaulter allegations chairman of cash-strapped Kingfisher Airlines Vijay Mallya today said the company was not given a chance to present its case before UBI.
While addressing the media at its United Breweries ‘ (UB) annual general meeting, he said, “We disagree with their action. We were’nt given a hearing, will pursue legal remedies available.”
UBI recently declared the grounded airline and Mallya as wilful defaulters for non-payment of dues worth Rs 400 crore. Three company directors – Subhash R Gupte, Ravi Nedungadi and Anil Kumar Ganguly — were also on the list. But the company is looking to vigorously challenge UBI’s decision.
State-owned UBI is the first lender to declare KFA and promoter Mallya as wilful defaulters.
Meanwhile, speaking about the non-renewal of a section of bar licences in Kerala, the liquor baron said that prohibiting alcohol is not in public interest and there is sufficient proof available to show that this prohibition didn’t work. Mallya’s United Breweries has a dominant 70 percent of the beer market in the state. However, he sees no reason for beverages to be excluded from the Goods and Services Tax (GST) ambit.
United Bank stock price
On September 04, 2014, at 14:09 hrs United Bank of India was quoting at Rs 46.10, down Rs 1.1, or 2.33 percent. The 52-week high of the share was Rs 61.65 and the 52-week low was Rs 23.40.
The latest book value of the company is Rs 64.81 per share. At current value, the price-to-book value of the company was 0.71.