Rose Capital, a British Virgin-Islands-registered company, purchased a property in 2005. Overlooking capital’s Regent’s Park, at the time, the property was used for offices.

vijay-mallya's-home-in-london-letsdiskuss

(Courtesy: Times Now)

In 2007, the shares of Ross Capital were up for sale. A company named Gladco Properties Inc purchased the majority of those capitals. Gladco Properties Inc was owned by Sileta Trust, a family trust of Vijay Mallya, created by his mother.

In 2008, Gladco Properties Inc was granted the permission to convert that official space into a residential one. And from 2009 the refurbishment work started. Vijay Mallya hoped to turn that space into a plush palatial property for himself, family members and corporate guests.

In 2012, Ross Capital, which is owned by Gladco Properties Inc – a propriety of Sileta Trust – mortgaged the property in question to UBS Group AG as security for a loan of £20.4 million.

Now, UBS Group AG is trying to seek the possession of the property, claiming Ross Capital has failed to repay back the mortgage amount.

“At the end of the day we are simply saying you haven’t paid your mortgage loan, as per the term, therefore we seek a remedy given to us, which is possession,” Thomas Grant, the attorney of UBS Group, told a London court on Monday. In the same proceeding, the court’s judge scrapped the majority of reasons presented by Vijay Mallya’s lawyer as to why the ownership of the property should remain with Ross Capital and Mallya family.

A 10-day trial is set to begin from May 7, 2019.

In short, Vijay Mallya failed to pay his bank loan (surprised?), so he’s about to lose his expensive and dear home in London.