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Did former PM Manmohan SIngh help Vijay Mallaya secure loans?
A report in Times Now had alleged that Mallya secured favors from the Manmohan Singh government.

As per the report, Mallaya had written letters to the then Finance Minister P Chidambaram and then Prime Minister Manmohan Singh regarding his loan application to a consortium of banks, requesting fuel supply credit for 60 days.

Within minutes of the report surfacing, the BJP held a press conference and alleged that the former Prime Minister Manmohan Singh was the one who helped Kingfisher Airlines owner Vijay Mallya get bank loans for his now-grounded airlines.

"The first loan to Vijay Mallya was granted in 2004, then again in 2008. Despite his companies declared Non-Performing Assets (NPAs), a restructuring of his loan was done in 2010," BJP's Sambit Patra said.

Patra was addressing a press conference where he also showed a few papers that he claimed to be the correspondence between Mallya and the then UPA government.

Patra blamed Manmohan Singh and the then Finance Minister P Chidambaram for 'conniving' with Mallya for providing him a bailout package for beleaguered Kingfisher Airlines.

"The Finance Minister forced the State Bank of India group, which was not willing to give a no-objection certificate for the issue of fresh share to raise funds, to not only issue the NoC, but a direction was given to the bank officials to meet UBL officials," Patra alleged.

Citing letters between Mallya and Singh, Patra alleged that Mallaya's airline was given a bailout package on Manmohan Singh's insistence. Patra also alleged that the Income Tax department went 'soft' on Mallaya.

"Not only that, only on the former Prime Minister's insistence the Income Tax Department went soft on Mallya and his accounts were also unfrozen," Patra alleged.

"The often asked question has been why Mallya was given a loan of Rs 9,000 crore despite very poor rating of the company; their accounts not being in order. Were there certain hands pulling the strings from behind," Patra said.

He also alleged that a 'hidden hand' was behind helping Mallaya in securing loans from banks despite his company having defaulted.

However, ironically, last week, Mallya had alleged that the Manmohan Singh led UPA government had bailed out Air India but not Kingfisher Airlines (KFA).

Mallya left the country and moved to Britain in March last year while the banks to whom he owes more than Rs 9,000 crores were trying to recover the loans from him. Mallaya has refused to return ever since.

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