Latest news with #GitanjaliGems
Hans India
20-05-2025
- Business
- Hans India
Sebi slaps Rs 2.1-cr demand notice on Mehul Choksi
New Delhi: Markets regulator Sebi has sent a notice to absconding diamantaire Mehul Choksi asking him to pay Rs2.1 crore in a case of violation of insider trading rules in the shares of Gitanjali Gems Ltd and warned of attachment of assets as well as bank accounts if he fails to make the payment within 15 days. The demand notice came after Choksi failed to pay the fine imposed by the Securities and Exchange Board of India (Sebi) in January 2022. Choksi, who was the chairman and managing director as well as part of promoter group of Gitanjali Gems, is the maternal uncle of Nirav Modi. Both are facing charges of defrauding state-owned Punjab National Bank (PNB) of more than Rs14,000 crore. Choksi and Modi fled India after the PNB scam came to light in early 2018. Last month, Choksi was arrested in Belgium following an extradition request by Indian probe agencies. He was located in Belgium last year when he went there on the grounds of getting medical treatment. He had been staying in Antigua since 2018 after leaving India. Modi was arrested by the Scotland Yard Police in March 2019 and is currently lodged in jail in that country. In a fresh recovery notice dated May 15, the Securities and Exchanges Board of India (Sebi) directed Choksi to pay Rs 2.1 crore within 15 days. This included a penalty of Rs 1.5 crore and an interest of Rs 60 lakh. In the event of non-payment of dues, the market regulator said it will recover the amount by attaching and selling his moveable and immovable properties. Besides, Choksi faces attachment of his bank accounts and arrest. In its order passed in January 2022, the regulator imposed a penalty of Rs1.5 crore on Choksi and restrained him from the securities market for one year. Sebi had found that Choksi communicated UPSI to one Rakesh Girdharlal Gajera, who sold his entire shareholding of 5.75 per cent in Gitanjali Gems in December 2017 with the intention of avoiding loss ahead of any event which may lead to disclosure of fraudulent issuance of LoUs (letter of undertaking)to Gitanjali Group and its magnitude in public domain.
Time of India
19-05-2025
- Business
- Time of India
Mehul Choksi gets Rs 2.1 crore Sebi notice
Mehul Choksi NEW DELHI: Sebi has sent a notice to absconding diamantaire Mehul Choksi asking him to pay Rs 2.1 crore in a case of violation of insider trading rules in the shares of Gitanjali Gems and warned of attachment of assets as well as bank accounts if he fails to make the payment within 15 days. The demand notice came after Choksi failed to pay the fine imposed by Sebi in Jan 2022. Choksi, who was CMD and part of promoter group of Gitanjali Gems, is the maternal uncle of Nirav Modi . Both are facing charges of defrauding PNB of more than Rs 14,000 crore. Choksi and Modi fled India after PNB scam came to light in early 2018. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
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Business Standard
19-05-2025
- Business
- Business Standard
Sebi orders Mehul Choksi to pay ₹2.1 crore for insider trading breach
India's market regulator, the Securities and Exchange Board of India (Sebi), has issued a notice to Mehul Choksi, asking him to pay ₹2.1 crore for violating insider trading rules related to Gitanjali Gems Ltd, according to a PTI report. Sebi warned that if the amount is not paid within 15 days, it will initiate proceedings to seize his properties and bank accounts. The notice, dated 15 May, includes a penalty of ₹1.5 crore and interest of ₹60 lakh. Sebi stated that if Choksi fails to comply, the recovery will be made by attaching and selling his movable and immovable assets. His bank accounts may also be frozen, and he could face arrest. This action follows Choksi's failure to pay a fine imposed in January 2022. The PNB scam Choksi, who was chairman, managing director, and promoter of Gitanjali Gems, is also the maternal uncle of Nirav Modi. Both men are accused of defrauding Punjab National Bank (PNB) of over ₹14,000 crore. They fled India after the scam came to light in early 2018. Choksi has been living in Antigua since 2018. Last year, he travelled to Belgium citing medical treatment. He was arrested there last month following an extradition request from Indian authorities. Nirav Modi was arrested by Scotland Yard in March 2019 and remains in custody in the UK. Insider trading case In its January 2022 order, Sebi found that Choksi had passed on confidential company information—classified as Unpublished Price Sensitive Information (UPSI)—to Rakesh Girdharlal Gajera. Gajera subsequently sold his 5.75 per cent stake in Gitanjali Gems in December 2017, just before news about fraudulent Letters of Undertaking (LoUs) became public. These LoUs were fraudulently issued for companies under the Gitanjali Group, including Gitanjali Gems Ltd. 'Noticee No. 1, Choksi, was found to have communicated UPSI to Noticee No. 2 (Gajera) without any underlying legal obligation or legitimate purpose,' Sebi said in its final order. Sebi concluded that both Choksi and Gajera violated the Prohibition of Insider Trading (PIT) regulations. This is not the first time Sebi has taken action against Choksi. In May 2023, the regulator issued a separate notice demanding ₹5.35 crore for alleged fraudulent trading in Gitanjali Gems shares. Another fraud case and non-bailable warrant Separately, earlier this month, a Mumbai court issued a non-bailable warrant against Choksi in a 2022 bank fraud case, where he and others are accused of defrauding a consortium of banks—Canara Bank and Bank of Maharashtra—of ₹55.27 crore. The Central Bureau of Investigation (CBI) registered a case in July 2022 after a complaint from a senior Canara Bank official. The case involves Bezel Jewellery (India) Private Limited, where Choksi and three others served as directors. They allegedly conducted fake transactions and defaulted on repayments, diverting and misusing funds.
Time of India
19-05-2025
- Business
- Time of India
Sebi issues Rs 2.1 cr demand notice to absconding diamantaire Mehul Choksi
Markets regulator Sebi has sent a notice to absconding diamantaire Mehul Choksi asking him to pay Rs 2.1 crore in a case of violation of insider trading rules in the shares of Gitanjali Gems Ltd and warned of attachment of assets as well as bank accounts if he fails to make the payment within 15 days. The demand notice came after Choksi failed to pay the fine imposed by the Securities and Exchange Board of India (Sebi) in January 2022. Choksi, who was the chairman and managing director as well as part of promoter group of Gitanjali Gems, is the maternal uncle of Nirav Modi . Both are facing charges of defrauding state-owned Punjab National Bank (PNB) of more than Rs 14,000 crore. Choksi and Modi fled India after the PNB scam came to light in early 2018. Last month, Choksi was arrested in Belgium following an extradition request by Indian probe agencies. He was located in Belgium last year when he went there on the grounds of getting medical treatment. He had been staying in Antigua since 2018 after leaving India. Continue to video 5 5 Next Stay Playback speed 1x Normal Back 0.25x 0.5x 1x Normal 1.5x 2x 5 5 / Skip Ads by by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Kuching: Unsold Furniture Liquidation 2024 (Prices May Surprise You) Unsold Furniture | Search Ads Learn More Undo Modi was arrested by the Scotland Yard Police in March 2019 and is currently lodged in jail in that country. In a fresh recovery notice dated May 15, the Securities and Exchanges Board of India (Sebi) directed Choksi to pay Rs 2.1 crore within 15 days. This included a penalty of Rs 1.5 crore and an interest of Rs 60 lakh. In the event of non-payment of dues, the market regulator said it will recover the amount by attaching and selling his moveable and immovable properties. Besides, Choksi faces attachment of his bank accounts and arrest. Live Events In its order passed in January 2022, the regulator imposed a penalty of Rs 1.5 crore on Choksi and restrained him from the securities market for one year. Sebi had found that Choksi communicated UPSI to one Rakesh Girdharlal Gajera, who sold his entire shareholding of 5.75 per cent in Gitanjali Gems in December 2017 with the intention of avoiding loss ahead of any event which may lead to disclosure of fraudulent issuance of LoUs (letter of undertaking)to Gitanjali Group and its magnitude in public domain. It was noted that fraudulent LOUs were issued on behalf of entities belonging to the Gitanjali Group, including GGL. "Noticee no. 1 (Choksi) was found to have communicated UPSI (unpublished price sensitive information) to Noticee no. 2 (Gajera) without any underlying legal obligation or any legitimate purpose," Sebi had said in its final order. Through such activities, the two persons had violated the provisions of PIT (Prohibition of Insider Trading) rules. In May 2023, Sebi had sent a notice to Choksi directing him to pay Rs 5.35 crore in a case pertaining to fraudulent trading in the shares of Gitanjali Gems.
Indian Express
30-04-2025
- Business
- Indian Express
Fugitive diamond merchant Mehul Choksi issued non-bailable warrant in bank fraud case
A magistrate court in Mumbai on April 19 issued a non-bailable warrant against fugitive diamond merchant Mehul Choksi in connection with a bank fraud case filed in 2022. Earlier this month, the Central Bureau of Investigation (CBI) approached the court seeking a warrant against Choksi. 'Issue Standing Non-Bailable Warrant against accused no 02 Mehul Chinubhai Choksi,' the additional chief judicial magistrate's order passed on April 19 said. The court has asked the CBI to file a report on the execution of the warrant issued. Choksi, who has other pending warrants issued against him already, is currently detained in Belgium on an extradition request by Indian authorities. The managing director of Gitanjali Gems was arrested in Belgium on April 12, for the pending investigation into his alleged role in the Rs 13,000-crore Punjab National Bank consortium fraud case. Choksi had taken the citizenship of Antigua and Barbuda and fled India just before a First Information Report (FIR) was registered in the alleged PNB scam. The CBI had filed a chargesheet against seven, including firms linked to Choksi, namely Bezel Jewellery India Pvt Ltd (previously known as D'damas Jewellery), and Gitanjali Gems Limited. During the last hearing on April 25, four of Choksi's co-accused sought bail, stating that their custody was not required. The court allowed the bail pleas of Sunil Varma, Vipul Chitalia, Aniyath Nair, and Kapil Khandelwal, who were working with Gitanjali Gems. The case was filed against them on the complaint of Canara Bank officials who alleged that the sanctioned amount of Rs 55 crore given as a working capital facility to Bezel Jewellery India Pvt Ltd was diverted for other purposes, including for repaying the company's long-term borrowings. The CBI had booked the accused on charges, including cheating. Last week, a Belgium court rejected the bail application of Choksi, who had sought to be released pending extradition proceedings but it was rejected. His lawyers had said they would be filing an appeal.
