The Rajya Sabha ethics panel has recommended the expulsion of Vijay Mallya "with immediate effect" from the house after his resignation was rejected by Chairman Hamid Ansari.
"Having considered the whole matter, including Mallya's (resignation) letter, the Committee of Ethics unanimously decided at its meeting on May 3, 2016, to recommend to the house that Vijay Mallya be expelled with immediate effect, " the panel said in its recommendation to the upper house.
The report was tabled in the house on Wednesday by panel chairman Karan Singh.
"The committee hopes that by taking such stern action, a message would reach the general public that parliament is committed to take such steps as are necessary against erring members to uphold the dignity and prestige of this great institution. "
The house will now take a call on the recommendation before adopting or rejecting the committee report.
Mallya is accused of defaulting on more than Rs. 9, 000 crore in loans he had taken from a consortium of banks.
He left India on March 2 and is believed to be in the United Kingdom.
His passport has been revoked after he failed to appear for three consecutive summons by the Enforcement Directorate.
In an apparent attempt to pre - empt his expulsion, Mallya wrote to Chairman Ansari on Tuesday seeking to resign from the house because he did not want his "name and reputation to be further dragged in mud".
However, Ansari turned down the resignation on procedural grounds.
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