The Karnataka High Court has admitted a winding up petition filed by corporate banker BNP Paribas against liquor baron Vijay Mallya's United Breweries Holdings (UBHL).
BNP Paribas had filed the winding petition last November on defaults by now grounded Kingfisher Airlines, promoted by UBHL, over unpaid dues of Rs 146 crore (now close to Rs 200 crore).
The court said BNP Paribas is entitled to claim the corporate guarantee provided by UBHL.
"In spite of being served valid notices, UBHL failed to pay its dues to BNP Paribas," Justice Anand Byrareddy said in his order on Tuesday.
Certain companies, including BNP Paribas, which are creditors to UBHL, had filed petitions in the High Court seeking its winding up as the holding company was unable to pay its debts. The creditors are trying to get back close to Rs 600 crore.