China encourage India to deal with Hong Kong on Nirav Modi

Nirav Modi scam PNB suspended 21 officials internal probe underway says CEO Sunil Mehta

Nirav Modi scam PNB suspended 21 officials internal probe underway says CEO Sunil Mehta

The CBI and Enforcement Directorate are now investigating the fraud case worth Rs 12,700 crore.

The court has asked for a reply from the enforcement agency by April 11.

It is alleged that Choksi and Modi got LoUs and Foreign Letters of Credit (FLCs) of United States dollars 2 billion issued in favour of foreign branches of Indian banks based on fraudulent claims.

Sources said, two officials of Canara Bank's branch in Bahrain, and an official of Bank of India's branch in Antwerp in Belgium were questioned by a CBI team in Mumbai. Modi and his jeweler uncle, Mehul Choksi, are accused of defrauding the PNB to the tune of around Rs 12,700 crore.

The Central Bureau of Investigation has held 19 people so far relating to the fraud.


Also in the matter of Letters of Undertaking (LoU) issued to Choksi and Modi, the receiving banks - the overseas branch of Indian banks who gave the buyers credit to Nirav and Choksi firms - officials have been called in for questioning.

The bench also said there was merit in ED's contention that while the "driving force behind the companies" (Modi) was not submitting to jurisdiction, his companies can not be given any discretionary relief. In case of default, the bank issuing the LoU has to pay the liability to the credit-giving bank, along with interest. They were frozen on India's request in view of the Punjab National Bank fraud cases.

Nirav Modi left the country on January 1 while his home, showrooms and offices in Mumbai, Delhi and Surat were searched on February 15 after PNB complained of staggering fraud at the cost of the taxpayer to benefit the celebrity jeweller and others.

In a surprising development China has advised India to deal directly with Hong Kong on Nirav Modi issue and Beijing would leave it to the local administration to take a decision on India's request for repatriation.

The central government has claimed to have tracked Modi in Hong Kong and sought his arrest under the "Surrender of Fugitive Offenders Agreement" with Hong Kong. Mid-day management/mid-day.com reserves the sole right to alter, delete or remove (without notice) the content in its absolute discretion for any reason whatsoever.

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