Diamond merchant Nirav Modi, prime accused in the Rs 11,400 crores Punjab National Bank scam, is absconding. Reports suggest that Modi, like Mallya before him, has fled the country. While Mallya sought refuge following his bad debts of Rs 9000 crores from 17 banks, Modi is said to have absconded to Switzerland.
Nirav Modi, his wife, brother and another associate are the prime accused in the PNB case. The ED has determined that they had also borrowed huge sums from six other banks on the assurance of PNB. The ED is raiding 11 offices belonging to Nirav Modi’s family in Delhi, Mumbai and Surat. However, Nirav Modi escaped the country before an FIR was filed against his fraudulent dealings, the External Affairs Ministry said.
The CBI is already investigating PNB’s charge that Nirav Modi has cheated them of Rs 280 crores in 2017. Modi is understood to have offered to pay back Rs 5000 crores if given 6 months time.
In addition to the Punjab National Bank, Union Bank, SBI Overseas Bank, Axis Bank and Allahabad Bank have given loans to this fraudster. This has led to suspicions about the level of their involvement in this scam. The ED has issued Summons to PNB’s former DGM Gokul Shetty in this matter. A money laundering case has also been registered against Nirav Modi, who owns diamond showrooms in London, New York, Las Vegas, Singapore, Hawaii, Beijing and Macau, in addition to Indian cities.
PNB Fraud Case: ED team at Nirav Modi's showroom & office in Mumbai's Kala Ghoda. pic.twitter.com/3YQq4lyKNj
— ANI (@ANI) February 15, 2018