Zee Media Bureau
New Delhi: The government on Monday rejected a plea by grounded airlines Kingfishe Airilnes to re-appoint Vijay Mallya as its managing director.
According to a filing by United Breweries Group to BSE, the ministry of corporate affairs rejected the application “under section 269 of the Companies Act, 1956, for approval of the central government for reappointment of Vijay Mallya as managing director of the company for a period of five years from 16 October 2013 without remuneration”.
The UB Group is promoted by Kingfisher Airlines.
Kingfisher Airlines, which was launched in 2005, has been grounded since October 2012 with Vijay Mallya removed from the post of Managing Director.
According to reports, KFA hasaccumulated losses of Rs.16,023.46 crore as on 31 March 2013 with its net worth falling to a negative Rs.12,919.82 crore.
Earlier during the day, Mr Mally, in a surprise move, resigned as director from his group firm Mangalore Chemicals and Fertilizers.
The United Bank of India has identified Mally and the airlines as wilful defaulter while the UCO Bank had identified the airlines as wilful defaulter.
