PNB fraud: CBI make first arrests

Mangalore Today News Network

New Delhi, Feb 17, 2018 : The CBI made the first arrests in the multi-crore bank fraud involving billionaire diamond merchant Nirav Modi, taking into custody three people.

 

The arrested were identified as retired deputy Manager Gokulnath Shetty, single window operator Manoj Kharat and authorised signatory of the Nirav Modi Group of firms Hemant Bhat.

They will be produced before a CBI special court in Mumbai.

The government has launched a multi-agency probe after Punjab National Bank filed complaints with the CBI against Nirav, his wife Ami, brother Nishal, uncle Mehul Choksi and bank officials that they defrauded it of Rs 11,344.40 crore through illegal issuance of Letters of Understanding and Letters of Credit.

Besides the CBI, the ED, Income Tax department and Ministry of Corporate Affairs are currently probing various angles of the case.

So far, the ED has seized diamonds, gold and jewellery worth Rs 5,649 crore, while the CBI has recovered tranches of sensitive documents.

The I-T Department has invoked the stringent anti-black money law against Nirav on charges of holding illegal assets abroad.

Nirav and Choksi left India and the government has revoked their passports on Friday.

The Ministry of External Affairs (MEA) suspended the validity of the passports of Nirav and Choksi on the advice of the Enforcement Directorate (ED), which registered a case against Nirav under the Prevention of Money Laundering Act.

The passports have been suspended "with immediate effect for a period of four weeks under section 10(A) of the Passports Act, 1967", Raveesh Kumar, spokesperson of the MEA, said on Friday.



courtesy:DHNS