PNB fraud: Court issues non-bailable warrants under PMLA against Nirav Modi, Mehul Choksi

Mangalore Today News Network

Mumbai, Mar 03, 2018 : A special designated court under the Prevention of Money Laundering Act (PMLA) issued non-bailable warrants against diamond merchant Nirav Modi and his uncle Mehul Choksi in the Punjab National Bank fraud case.

 

The Enforcement Directorate (ED) had this week sought warrants against them claiming they had evaded investigation and not appeared before the agency despite summons. The ED claimed that three summons were issued to Modi, two via email.

Modi has responded to the summons via email stating he has business abroad and sought to communicate with the ED for the investigation via email. He had also expressed concerns about his safety referring to the tone of the media coverage in the case. The investigation against Modi began after a complaint was registered by the CBI on January 31, following which ED filed a complaint, alleging that fraudulent Letters of Undertaking (LoUs) were issued in favour of Modi’s companies by PNB in violation of rules causing losses to the bank.

Meanwhile, the CBI on Friday produced another arrested accused, an internal chief auditor of the Punjab National Bank (PNB), Bishubrata Mishra, before the special CBI court. The court remanded him in CBI custody till March 14. Mishra is the 14th person to be arrested in the case. So far, the CBI has arrested eight officials from PNB and six accused associated with diamantaire Nirav Modi and Mehul Choksi’s companies in the Rs 11,400-crore fraud case. Also Read: Internal chief auditor sent to CBI custody till March 14

Mishra worked at the PNB Brady House branch as internal chief auditor from 2011 to 2015. During his tenure, there were more than 100 fraudulent Letter of Undertaking (LoUs) issued by a retired deputy manager of PNB Gokulnath Shetty, one of the main accused in the case.



courtesy:Indian Express