Latest news with #Choksi
India Today
6 days ago
- Business
- India Today
Court pauses trial against Mehul Choksi in Rs 55-crore Canara Bank fraud case
A special CBI court in Mumbai on Friday stayed the issuance of process and the non-bailable warrant (NBW) against absconding diamantaire Mehul Choksi in connection with a Rs 55 crore loan fraud involving Canara case, registered by the CBI's Bank Securities and Fraud Branch (BSFB) on July 12, 2022, was based on a complaint filed by P Santosh, Chief General Manager, Canara Bank. It alleged fraud committed by Choksi, his companies, associates, and some unidentified public servants in the disbursal of working capital facilities sanctioned to Bezel Jewellery (India) Pvt Ltd under a consortium led by Canara Bank and Bank of this year, in April, a magistrate court issued a fresh NBW against Choksi. The businessman, currently imprisoned in Belgium, challenged the order through advocates Vijay Agarwal, Rahul Agarwal, and Jasmin Purani. His co-accused, Aniyath Shivraman Nair, then Assistant General Manager at Gitanjali Jewels, also filed a criminal revision Agarwal, representing both accused, argued that 'a cryptic order of issuance of process has been passed' by the magistrate court. He said the court had issued the process mechanically, without applying its mind and in violation of Sections 190 and 204 of the CrPC. Agarwal added, 'The order is a non-speaking and unreasoned order, hence, it may kindly be stayed.'CBI's Public Prosecutor Vikram Singh opposed the request for interim Special Judge JP Darekar, after reviewing the records and the magistrate's order, noted that the lower court failed to issue a reasoned order. 'Though the Trial Court has observed that there is sufficient material available on record for issuing process against accused persons, but order does not contain detailed reasons,' the judge a Supreme Court precedent, Judge Darekar said, 'Prima facie the impugned order does not reflect that any opinion was formed by the Trial Court on the basis of the material content in the charge-sheet.'The court further stressed the importance of reasoned orders. 'The reasons are necessary not only for the litigants before the court but also for the superior courts to know the thought process of the Trial Court. The court expects at least some brief outline of the reasons which led the Trial Court to form an opinion to issue summons in the case.'In view of these observations, the court stayed further proceedings in the trial court against Choksi and Nair until the next CBI court directed that its order be communicated to the magistrate court and granted the agency time till August 8 to file a reply.- EndsMust Watch
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Business Standard
6 days ago
- Business
- Business Standard
CBI court stays loan fraud case proceedings against Choksi till August 8
A special CBI court here on Friday stayed proceedings against diamantaire Mehul Choksi till August 8 in the ₹55 crore Canara Bank-led consortium loan fraud case. A magistrate court, in April, took cognizance of a chargesheet filed by Central Bureau of Investigation in the case and had issued summons to the accused, including Choksi and two former employees of Gitanjali group Vipul Chitalia and Aniyath Nair. However, their lawyers Vijay Agarwal, Rahul Agarwal and Jasmin Purani on Friday filed a revision application against the magistrate's order before the special CBI court claiming it was passed in "a mechanical manner without application of mind". The order summoning the accused has been passed with lightning speed on the same day of filing of chargesheet, without even perusing it, they claimed and sought interim relief until their plea is decided. Special Judge J P Darekar, presiding over the matter, found that the magistrate court's order does not reflect any opinion formed by it on the basis of the material in the chargesheet. It held that reasons are necessary not only for litigants but also for superior courts to know the thought process of the trial court. "The court expects at least some brief outline of the reasons which leads the trial court to form an opinion to issue summons in the case," the special judge noted. Therefore, there is prima facie error of giving no reasons in support of the order of issuance of process, the special judge said. It then stayed the magistrate court's proceeding till August 8, the next date of hearing. The court also issued notice to the CBI seeking its say in the plea. As per the CBI, Canara Bank and Bank of Maharashtra had sanctioned ₹30 crore and ₹25 crore, respectively, as working capital facilities under a consortium agreement to Bezel Jewellery. The loan was granted for the manufacturing and sale of gold and diamond-studded jewellery, but the company allegedly did not use it for the intended purposes, according to the CBI. The company did not repay the loan, causing a loss of ₹55.27 crore to the consortium, as per the agency. Choksi and his nephew Nirav Modi are prime accused in the ₹13,500-crore PNB 'scam'. While Choksi is fighting for bail in a court in Belgium, Nirav Modi has been in jail in London since 2019.
Indian Express
6 days ago
- Business
- Indian Express
Special court stays proceedings in 2022 bank fraud case filed against Choksi
A SPECIAL court Friday stayed proceedings against diamond merchant Mehul Choksi and a co-accused in a bank fraud case, pending before the magistrate court. The special court said that the magistrate court had in April issued summons to the seven accused in the case, including Choksi, but the order does not reflect any opinion of the court. Lawyers for Choksi and co-accused, Aniyath Nair, had approached the special court against the magistrate court order. 'The reasons are necessary not only for the litigants before the court but also for the superior courts to know the thought process of the learned trial court. The court expects at least some brief outline of the reasons which leads the Trial Court to form an opinion to issue summons in the case. Therefore, in view of this prima facie error of being no reasons in support of the order of issuance of process, the further proceedings…. pending before the court….are hereby stayed qua the present applicant Nos.5 (Nair) and 2 (Choksi) till next date,' the special court said. The case relates to a complaint filed in 2022, alleging wrongful losses caused to a consortium of banks led by Canara Bank to the tune of Rs 55.27 crore. Choksi, two companies— Bezel Jewellery India Ltd, Gitanjali Gems, and four other persons were named as accused by the CBI. The CBI had alleged that loans granted by the banks for manufacturing and sales of gold and diamond studded jewellery, were diverted by the accused. The magistrate court had passed an order summoning the accused and issued a non-bailable warrant against Choksi, who is currently facing proceedings in Belgium, where he is detained on an extradition request by Indian authorities, for investigation of the Rs 13,000-crore Punjab National Bank bank consortium fraud case. The lawyers for the accused, Rahul Agarwal and Jasmin Purani, had submitted that the magistrate court order taking cognizance of the chargesheet filed by the CBI was done 'mechanically', without giving any reasons. They also claimed that the order was passed in a 'lightning speed' on the same day when the chargesheet, running into thousands of pages, was put before the court, without perusal.
Time of India
6 days ago
- Business
- Time of India
CBI court grants interim stay on proceedings against Mehul Choksi in bank fraud case
Mumbai: A Special Central Bureau of Investigation (CBI) court on Friday granted an interim stayed on the trial court proceedings before Magistrate court against wanted jeweller Mehul Choksi and other accused persons, Aniyath Nair and Vipul Chitalia in a bank fraud case probed by the CBI in relation to loan granted by Canara Bank to a company, Bazel Jewellery . In April, CBI had filed a chargesheet before the Esplanade court in the said matter alleging cheating, diversion of funds and misappropriation of funds by Mehul Choksi and other officials of the company. Explore courses from Top Institutes in Select a Course Category PGDM Technology Project Management MCA Management Finance others Others Data Science Data Science Operations Management healthcare Design Thinking Leadership Cybersecurity CXO Data Analytics Public Policy Degree MBA Digital Marketing Healthcare Product Management Artificial Intelligence Skills you'll gain: Financial Analysis & Decision Making Quantitative & Analytical Skills Organizational Management & Leadership Innovation & Entrepreneurship Duration: 24 Months IMI Delhi Post Graduate Diploma in Management (Online) Starts on Sep 1, 2024 Get Details Choksi and his nephew, Nirav Modi , are the main accused in the PNB case being probed by both, the ED and CBI for allegedly causing a loss of over Rs..25,000 crores to the bank. Choksi, is currently detained in a prison in Belgium where the police arrested him on India's request. He has contested the extradition . Advocate Vijal Aggarwal appearing for Mehul Choksi and others argued that the order summoning the accused persons is a non-reasoned and mechanical order as the perusal of the same shows that the Magistrate has not applied its mind and not given reasons for summoning the Accused persons as to how offence is made out against them. He further argued that the word used in Section 204 Cr.P.C. which deals with issuance of process/summons against an accused is 'sufficient reasons' and the said reasons have not been stated by the Magistrate in its order. He further argued that the Magistrate has taken cognizance and summoned the accused persons 'with lightning speed' on the same day it has received the chargesheet along with documents running into thousands of pages filed in trunks which suggests that the said order has been passed in a mechanical manner. Counsel appearing for CBI sought time to file reply to the Revision petitions filed by Mehul Choksi and others to reply to contentions raised by them. The Court granted time to CBI to file reply to the petition filed by l Choksi and others and posted the matter on August 8.
Hindustan Times
10-07-2025
- Hindustan Times
In major setback for Choksi, Belgian court rejects bail petition
In a setback for fugitive diamantaire Mehul Choksi, currently lodged in a prison in Antwerp, the Court of Cassation in Belgium -- equivalent to the Supreme Court of India -- has rejected his bail plea, which means he might have to stay in prison for a very long time, people familiar with the development said on Wednesday. Choksi was arrested by Antwerp police on April 11, based on an extradition request sent by CBI and has been lodged in the prison there for nearly three months now. (ANI) The Court of Cassation's decision was delivered last week according to an officer who didn't want to be named, strengthens the Central Bureau of Investigation's case against Choksi and validates the evidence provided there in the courts. 'The Court of Cassation didn't find Choksi's arguments for his release on bail convincing. He may not get relief very soon, even during extradition proceedings, which may not begin before September end,' added the officer. Choksi, 65, was arrested by Antwerp police on April 11, based on an extradition request sent by CBI and has been lodged in the prison there for nearly three months now. The fugitive businessman's legal team refused to comment on the matter. According to the second officer, a CBI team recently travelled to Antwerp to provide additional information and evidence against Choksi and his companies. Subsequently, the Indian team hired a European law firm to assist Belgian prosecutors during extradition proceedings which have been initiated under Indian Penal Code (IPC) sections 120 B (criminal conspiracy), 201 (destruction of evidence), 409 (criminal breach of trust), 420 (cheating), 477A (falsification of accounts), and sections 7 and 13 (bribery) of the Prevention of Corruption Act; which are crimes in Belgium as well under the dual criminality clause of extradition treaty. The United Nations Convention against Transnational Organized Crime (UNTOC) and United Nations Convention against Corruption (UNCAC) have also been invoked in the extradition request. The people cited in the first instance said Choksi recently tried to get relief citing ill-health and by offering to wear a GPS-enabled anklet at home , but this plea too was rejected by the Belgian courts. India has claimed before courts in Belgium that Choksi is a habitual offender and jumps extradition proceedings wherever he is found, as seen in the US and Antigua and Barbuda, and that if he is released on bail, he could easily cross over to another country in Europe, according to the second officer. Choksi is accused of defrauding Indian banks of ₹13,000 crore before fleeing from India in January 2018. As reported by HT in May, Indian investigators have submitted documentary evidence to the prosecutors in Belgium against Choksi in six bank frauds committed by him between 2018 and 2022 involving amounts totalling nearly ₹13,000 crore and court is already convinced that there is prima facie fear of him fleeing from Belgium. He was tracked by CBI to Belgium in July last year after which it approached the Belgian government with a formal extradition request.
