Did you know Vijay Mallya still holds an honorary post in RCB?
Synopsis
Vijay Mallya was arrested by the Scotland Yard on Tuesday. He was released on bail just three hours after he was arrested.
Vijay Mallya was forced to resign from the post of chairman and non-executive director of Royal Challengers Sports Private Limited (RCSPL). The RCSPL run RCB and it has been quite some time that they have been doing so. But in spite of Mallya's removal from the Board and the cricketing affairs of RCSPL, the liquor baron still holds an honorary post in RCB.
According to the agreement between the pioneer of RCB and United Spirits Limited, Mallya was awarded the honorary title of 'Founder Emeritus - USL, so that his historic connection with the company is recognised.
Mallya had lost all operational powers last year in February with his resignation. Also as per the agreement, Mallya has 'no authority, responsibility, rights or benefits within the Company or its group.' But with his arrest, this might have caused some discomfort within the management as RCB's image is already at stake.
However, industry sources believe that Mallya will loose out on that honorary position at RCB once their promoters will sell the stakes next year. Jindals had already wished to take over the operations of RCB but they will have to wait until next year when all the teams will go up on sale again.