INDIA has revoked the passport of a former whisky tycoon who is accused of hiding in Britain after the collapse of an airline business left him with debts of nearly £1 billion.

Vijay Mallya, an Indian businessman and former owner of Scottish whisky distiller, Whyte & Mackay, has had his passport revoked amid an ongoing investigation into the collapse of his aviation business, Kingfisher Airlines, in 2013.

Mr Mallya is currently the subject of an arrest warrant in connection with the case and India's Enforcement Directorate has confirmed it is considering seeking a deportation order to force the billionaire to return to India to face charges over alleged money laundering and financial irregularities.

India's opposition Congress party has accused the India government of letting Mr Mallya flee while being pursued for debts totalling 90 billion rupees (£937m).

Mr Mallya, a household name in India, has always denied any wrongdoing. He tweeted: "I am an international businessman. I travel to and from India frequently. I did not flee from India nor am I an absconder. Rubbish."

In March, he was blocked from receiving $75m (£53m) severance pay from British drinks giant Diageo after a consortium of banks and creditors approached the Supreme Court over unpaid debts.

They demanded that his passport be impounded, and the pay-off be used to repay them.

The payout was blocked, but it emerged that Mr Mallya had already left India.

Mr Mallya led United Spirits Ltd to buy Whyte And Mackay for £600 million in 2007, but USL was forced to sell Whyte and Mackay for antitrust reasons seven years later for £430m following a move by rival Diageo to buy a controlling stake in the Indian spirits maker.

Delhi authorities have now given the businessman one week to answer why his passport should not be impounded or revoked.