Raj Shamani-Vijay Mallya Podcast: Facts behind Vijay Mallya Scam

 

Explore the Vijay Mallya scam, total scam amount, money laundering case, and key revelations from his exclusive podcast interview with Raj Shamani in 2025.

Vijay Mallya Scam: Full Case Study, Money Laundering, Podcast Revelations

Introduction

The story of Vijay Mallya is one of India’s most significant corporate scandals. Once celebrated as the "King of Good Times," Vijay Mallya became a symbol of luxury, ambition, and ultimately, financial controversy. His downfall has been one of the most discussed topics in India for years. The controversy resurfaced strongly in June 2025 when Vijay Mallya appeared in a widely popular podcast hosted by entrepreneur Raj Shamani. In this detailed blog, we will explore the Vijay Mallya scam in depth, including the money laundering case, the total scam amount, the timeline, his recent statements, and key highlights from the Raj Shamani podcast.

Vijay Mallya Scam in Detail

The Vijay Mallya scam refers to the large-scale loan default and financial mismanagement linked to his company, Kingfisher Airlines. Vijay Mallya borrowed heavily from a consortium of 17 Indian banks to fund the struggling airline. However, a substantial portion of these funds was allegedly misused and diverted for personal luxury, his Formula 1 team, IPL franchise, and properties abroad.

Total Scam Amount in Rupees

The total Vijay Mallya scam amount in rupees is estimated to be over ₹9,000 crores. In fact, after accounting for interest and penalties, the scam amount reportedly exceeds ₹9,900 crores. This makes it one of the largest corporate loan defaults in India’s history.

Timeline of the Scam

• 2005: Kingfisher Airlines was launched.

• 2009: The company started defaulting on loans.

• 2012: Kingfisher Airlines shut down operations due to severe financial losses.

• 2016: Vijay Mallya left India, stating he was on a business trip.

• 2017: He was declared a Fugitive Economic Offender.

• 2018: Money laundering cases were filed against him.

• 2024: Reports confirmed that banks recovered over ₹14,000 crores through asset sales.

• 2025: Vijay Mallya appeared on Raj Shamani’s podcast, breaking his silence after nine years.

Vijay Mallya Money Laundering Case

Apart from loan defaults, Vijay Mallya faced serious allegations of money laundering. Investigative agencies claimed that the borrowed funds were transferred to offshore accounts and used for personal purposes, rather than the operational needs of Kingfisher Airlines.

The money laundering charges also include illegal fund transfers to his Formula 1 team and foreign properties. Authorities accused Mallya of intentionally hiding assets and creating complex financial layers to avoid detection.

When Did the Vijay Mallya Scam Happen?

The Vijay Mallya scam happened over several years, primarily from 2009 to 2012 when Kingfisher Airlines failed to meet its loan repayment obligations. By 2016, the issue became a full-blown financial scandal as Vijay Mallya left India, triggering widespread public and legal scrutiny.

Summary of the Scam

• Scam Period: 2009 to 2012

• Scam Amount: Over ₹9,000 crores

• Money Laundering: Allegedly involved offshore transfers and misuse of funds

• Legal Status: Declared a fugitive in 2017

• Recovery: ₹14,000 crores reportedly recovered by 2024

Vijay Mallya’s Recent Statements

In a significant development, Vijay Mallya recently participated in a detailed conversation on the Raj Shamani Podcast. This was his first extensive public interview in almost nine years. The episode became viral within hours and sparked national debate.

Key Points from the Podcast:

• Vijay Mallya claimed he did not escape India; he left for a business meeting and stayed away due to unfair treatment and media harassment.

• He emphasized that Indian banks have already recovered more than ₹14,000 crores, suggesting that the label of "fraud" or "chor" no longer applies.

• He appealed for a fair trial if he were to return to India and highlighted concerns over human rights violations in Indian detention facilities.

• Mallya questioned why his name remains associated with financial crime when the debt has been largely settled.

Raj Shamani Podcast: Why It Matters

The Raj Shamani Vijay Mallya Podcast is a landmark episode that reopened the public discussion on Vijay Mallya’s role and the overall fairness of the Indian judicial and financial system.

Highlights:

• Date: June 6, 2025

• Duration: Approximately 4 hours

• Impact: Viral on social media platforms with millions of views and countless public reactions

Raj Shamani, known for his honest, direct conversation style, allowed Vijay Mallya to present his version without interruption or bias. The podcast featured in-depth discussions on Mallya’s lifestyle, the business environment in India, and his views on the harsh judgments passed against him.

The Power of the Podcast

Social media was flooded with reactions immediately after the episode aired. The most viral moment came when Mallya wore an expensive ₹40-lakh watch during the recording, sparking memes and public commentary. Viewers widely debated whether the public perception of Mallya should now change, given that a significant portion of the defaulted loans has been recovered.

The podcast also clarified that Mallya and Vijay Shekhar Sharma, founder of Paytm, are two entirely different individuals, as many people often confuse them. Vijay Shekhar Sharma’s net worth has been around $1.1 billion at its peak, and he has no connection to the Mallya case.

Vijay Mallya’s Future: Will He Return to India?

Vijay Mallya said he is willing to return to India if assured of a fair trial and proper legal proceedings. However, his extradition remains incomplete as of now. Indian authorities are still pursuing legal channels to bring him back, but the process is complex due to international law and human rights concerns raised by UK courts.

Social Media Response

When Mallya recently congratulated Royal Challengers Bangalore (RCB) for their IPL victory, social media platforms exploded with comments like:

• "RCB came back. When are you coming back?"

• "RCB won, maybe it's your turn to return to India."

These playful but sharp comments reflect how deeply the Vijay Mallya scam remains in public memory.

Conclusion

The Vijay Mallya scam is a story that continues to evolve. What began as a massive loan default has turned into a multi-layered discussion about justice, media narratives, corporate failures, and the Indian financial ecosystem. With his latest podcast appearance, Vijay Mallya has reignited public debate about his case and raised serious questions about the treatment of high-profile business defaulters in India.

As the legal proceedings continue, the Indian public remains divided—some still see him as a symbol of corporate fraud, while others now question whether he has paid his dues.

One thing is certain: Vijay Mallya's story is far from over.

Frequently Asked Questions (FAQs)

1. What is the Vijay Mallya scam amount in rupees?

The Vijay Mallya scam amount is estimated to be over ₹9,000 crores.

2. When did the Vijay Mallya scam happen?

The scam occurred between 2009 and 2012, with the controversy peaking in 2016 when Mallya left India.

3. What is the Vijay Mallya money laundering case?

It involves allegations that Vijay Mallya diverted loan funds to offshore accounts, personal expenses, and unrelated businesses.

4. How much money has been recovered?

Banks have reportedly recovered more than ₹14,000 crores through the sale of Vijay Mallya's assets.

5. Who is Vijay Shekhar Sharma?

Vijay Shekhar Sharma is the founder of Paytm and is not connected to the Vijay Mallya case.