Latest news with #LettersofUndertaking
Indian Express
5 days ago
- Politics
- Indian Express
PNB ‘fraud': CBI seeks to record statement of Nirav Modi's brother-in-law who sought to become witness
Over a month after the Central Bureau of Investigation filed a supplementary chargesheet against Maiank Mehta, brother-in-law of fugitive jeweller Nirav Modi, the agency sought permission from the special court to record his statement, in a bid towards deciding his application to become an approver in the PNB fraud case. Mehta and his wife Purvi—Modi's sister—have become prosecution witnesses in the case filed by Enforcement Directorate (ED) and will be expected to depose against the accused, including Modi. They had claimed in 2020 that they wanted to distance themselves from Modi, and could provide 'substantial and important evidence' relevant to him and his dealings. They similarly sought to become witnesses in the CBI's case but their pleas are yet to be decided as the agency is yet to give its go-ahead. Mehta was named an accused in the supplementary chargesheet submitted before the court by the CBI in July, with the agency claiming that he played an active role in the conspiracy along with the other accused to transfer funds received from the Punjab National Bank gained allegedly through issuance of fraudulent Letters of Undertaking. This week, the CBI sought to record Mehta's statement under Section 164 of the Criminal Procedure Code, which is recorded before a magistrate. The court has directed Mehta to remain present before it on August 11 for recording of his statement. If the CBI gives its no-objection to make him an approver, the court will then decide if he can be examined as a prosecution witness in the case, where his testimony including facts deposed against the accused, can be used as evidence. On July 3, the Bombay High Court had directed that the cognizance of the supplementary chargesheet filed against Mehta not be taken till his application to turn approver is not decided. The high court directed the special court to decide on the plea expeditiously. In its supplementary chargesheet, the CBI claimed that Mehta's role as one of the beneficiaries of the defrauded amount has surfaced. It said that in 2013, USD 81.09 million related to 43 LoUs issued by the Punjab National Bank were transferred to one company named Pacific Diamonds. The CBI alleged that in 2013, nearly 30 million USD from Pacific Diamonds were transferred to the savings account of Mehta, which he then transferred in 10 transactions to his sister Purvi. She claimed that she received these funds from Mehta as a gift. It was also claimed that Mehta was appointed nominee in accounts where transfer of funds related to the LOUs were made and had also claimed that Nirav Modi's father, Deepak Modi, had transferred USD 8.9 million to Mehta 'through their shell companies'. The trial in both the ED and CBI cases is yet to begin. Modi is currently undergoing extradition proceedings in the UK, while those from his firms and the PNB staff are out on bail. Purvi is a citizen of Belgium, while Mehta who resides in Hong Kong, is a citizen of the UK, and works with a jewellery firm.
Scroll.in
05-07-2025
- Politics
- Scroll.in
Nirav Modi's brother arrested in US on Indian extradition request
Nehal Modi, the brother of fugitive economic offender Nirav Modi, has been arrested in the United States on an extradition request by the Central Bureau of Investigation and the Enforcement Directorate, The Hindu reported on Saturday. Nehal Modi is a co-accused in the Rs 13,000-crore Punjab National Bank fraud case. In its complaint, the prosecution in the US said that the extradition proceedings were being pursued for alleged money laundering under India's Prevention of Money Laundering Act and alleged criminal conspiracy under sections of the erstwhile Indian Penal Code, the newspaper reported. Nehal Modi is alleged to have assisted in concealing and transferring illicit funds through a network of shell companies and overseas transactions, The Hindu reported. The extradition matter is expected to be heard in a US court on July 17, PTI reported. Nehal Modi is a Belgian citizen. The PNB fraud came to light in February 2018 when the bank informed the stock exchange BSE that it had detected 'fraudulent and unauthorised transactions' worth Rs 11,380 crore at a branch in South Mumbai. A few officials of the public sector bank had allegedly issued fraudulent Letters of Undertaking to Nirav Modi's companies, resulting in the loss of Rs 6,097 crore to PNB. Nirav Modi is in prison in the United Kingdom, where he is facing extradition proceedings. Nehal Modi and Nirav Modi's uncle Mehul Choksi is also one of the prime accused in the matter. Choksi had fled India for Antigua and Barbuda in January 2018, a few weeks before the fraud came to light. He then secured the citizenship of the Caribbean country.
India Today
05-07-2025
- Business
- India Today
Nehal Modi was in US jail for 3 years before arrest in PNB scam: Sources
Nehal Modi, the younger brother of fugitive diamond merchant Nirav Modi, arrested in connection with the multi-crore Punjab National Bank (PNB) scam, was released from a US jail after serving a three-year jail term, sources told India Today said Nehal Modi, a Belgian national, was arrested again on Friday for the offences he had committed in India and after Interpol had issued a Red Notice against Modi, who was taken into custody on Friday, faces two charges - money laundering under Section 3 of PMLA and criminal conspiracy and destruction of evidence, according to a US prosecution complaint. Nirav Modi, his uncle Mehul Choksi, Nehal Modi and others are wanted by the CBI and the Enforcement Directorate (ED) for cheating PNB of about Rs 13,500 crore in loans using fraudulent Letters of Undertaking (LoUs).While Nirav Modi's extradition has already been approved by the UK High Court, the process to bring him to India is being delayed due to him filing numerous appeals. Nirav, who is in a London jail, was declared a fugitive economic offender in this year, the Belgian government said Choksi, 65, was arrested in Antwerp following an extradition request by India. Choksi fled India in 2018 and has been living in Antigua and Barbuda as a citizen since MODI'S CRIMINAL ACTIVITIESAccording to investigative agencies, Nehal Modi knowingly and intentionally participated in assisting the concealment of proceeds of crime, destroying the Modi was personally overseeing all the accounts, records were eliminated and was influencing the employees and participated in destroying the evidence in respect of the money trail. He also dealt with the proceeds of the crime by taking 50 kgs of gold from Firestar Diamond FZE, Dubai after the initiation of an investigation into this the scam broke out, Nehal Modi dealt with the proceeds of the crime in respect of the Nirav Modi case and took away diamonds having a value of USD 6 million and 150 boxes of pearls from Hong Kong and cash of AED 3.5 million and 50 kgs of gold, along with Mihir Bhansali, another coconspirator from Modi destroyed digital evidence (mobile phones and servers) pertaining to the Nirav Modi case in Dubai. He intimidated the witnesses and sent them to Cairo and their passports were taken over at his were forced to sign some false papers in Cairo at his insistence. In one case, a witness was offered Rs 20 lakh by Nehal Modi in lieu of tendering false testimony before the judicial authorities of Indian government officially demanded the extradition of Nehal Modi, on which action has now been taken by the US. It is expected that the process of bringing Nehal Modi to India will begin soon.- Ends
India Today
05-07-2025
- Business
- India Today
Nehal Modi, brother of fugitive Nirav Modi, arrested in US in bank fraud case
Nehal Modi, brother of fugitive diamantaire Nirav Modi, has been arrested in the United States in connection with the multi-crore Punjab National Bank (PNB) scam in a major diplomatic win for India following its extradition to the US Department of Justice, Nehal Modi, a Belgian national, was taken into custody on July per the US prosecution complaint, Nehal faces two charges - money laundering under Section 3 of PMLA and criminal conspiracy and destruction of Nirav Modi, his uncle Mehul Choksi, Nehal and others are wanted by the CBI and the Enforcement Directorate (ED) for cheating PNB of about Rs 13,500 crore in loans using fraudulent Letters of Undertaking (LoUs).While Nirav Modi's extradition has already been approved by the UK High Court, the process to bring him to India is being delayed due to him filing numerous appeals. Nirav, who is in a London jail, was declared a fugitive economic offender in this year, the Belgian government said Choksi, 65, was arrested in Antwerp following an extradition request by India. Choksi fled India in 2018 and has been living in Antigua and Barbuda as a citizen since AGAINST NEHAL MODIInvestigations by the ED and CBI have revealed that Nehal played a key role in laundering proceeds of crime on behalf of Nirav Modi, who is also facing extradition from the is alleged to have assisted in concealing and transferring large amounts of illicit funds through a web of shell companies and complex foreign transactions in a bid to conceal the proceeds of the next date of hearing in the extradition proceedings is scheduled for July 17. Nehal is likely to apply for bail during this hearing. The US prosecution said that it would oppose his plea.- Ends
Indian Express
19-06-2025
- Business
- Indian Express
Watches, coins, flat: Properties linked to Nirav Modi worth Rs 60 crore to be restored to PNB
A special court permitted restoration of properties linked to diamond merchant Nirav Modi valued at over Rs 60.33 crore, to the Punjab National Bank (PNB), allowing the bank's plea which said that the consortium of banks led by it has incurred losses of Rs 8526 crore in the alleged fraud. The restored properties include valuables worth Rs 40.83 crore, including jewellery, coins, watches and cash, from the Worli residence of Nirav Modi and a flat worth Rs 19.50 crore in Breach Candy. These properties were attached by the Enforcement Directorate (ED) in 2018-19 under the Prevention of Money Laundering Act, as part of its probe in to the fraud, where Nirav Modi and others are alleged to have connived with bank officials in issuing fraudulent Letters of Undertaking from 2008, causing losses to the banks. The PNB, citing the Prevention of Money Laundering (Restoration of Confiscated Property) Rules, 2016, said that the banks have a legitimate interest in the properties as they have suffered cumulative loss of more than Rs 8526.20 crore due to the fraud. It said that the value of the properties attached by the ED is around Rs 2,324.97 crore. It sought exemption of the two properties, including the valuables seized from the Samudra Mahal flats of Nirav Modi and a flat in Diamond Head building in Breach Candy, which was in the name of his sister, Purvi. The ED gave its no-objection to the plea. Purvi's lawyer, Manavendra Mishra, submitted that she is not the beneficial owner of the flat, and has no objection for the PNB plea to be allowed. Special Judge A V Gujarathi said that the case is pending since 2019 and the proclamation is issued against the diamond merchant and others in 2019, as they are absconding. A plea to declare Nirav Modi a fugitive economic offender is also pending. He is currently in the UK facing extradition proceedings. The court also noted that the ED and Purvi have not objected to the plea. It directed PNB to file an undertaking to return the amount with interest, in case the court deems it fit. Previously too in separate orders, restoration of properties was allowed to the PNB.
