London sources stated that the bank has sought repossession of the property at Cornwall Terrace, overlooking Regent's Park in central London, over the non-payment of a 20.4 million pounds mortgage loan. Meanwhile the property was referred to in the UK High Court as a "high class home for Dr Vijay Mallya and his family members and United Breweries Group corporate guests".
UBS said in a statement "UBS is pleased with the decision. Given that proceedings are ongoing, it would be inappropriate to comment further". Furthermore in his judgment following a two-day hearing last month, Judge Chief Master Marsh concluded that he can see no basis upon which the defendants should be given an opportunity to amend their defense.
Moreover the judge also expressed his displeasure at the way Mallya's defense team had conducted itself during the case, which meant avoidable delays for the court and there was a breakdown in the relationship between Mallya's previous law firm, Blake Morgan LLP, "including in relation to fees", which was one of the factors flagged by the court. Hence Mallya's team claims the bank had called in the loan ahead of an agreed period, the bank has claimed that it is within its rights to call in the mortgage for non-payment.
