CBI arrests 8 PNB officials, 2 others in alleged Rs 9-crore Nirav Modi-style fraud

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The Central Bureau of Investigation (CBI) has arrested eight officials of the Punjab National Bank and two directors of a private company in connection with the issuance of fraudulent Letters of Undertaking (LoUs).

Issuance of fraudulent LoUs is the same modus operandi that was used in the $1.2 billion Nirav Modi-PNB scam.

The accused allegedly got LoUs issued worth Rs 9 crore from PNB’s Brady House branch in Mumbai, the same branch where the Nirav Modi scam took place. The LoUs, in this case, were issued to SBI’s Antwerp branch. The case came to light after a forensic audit was ordered at the Brady House branch following the Nirav Modi scam.

The PNB officials arrested include Kumar Prasad, then AGM/Branch Head (presently DGM, PNB, New Delhi), Amar Sukhdev Jadhav, the then Single Window Operator,Sagar Dattaram Sawant, the then Single Window Operator Bechu Bansi Tiwari, the then Chief Manager, Foreign Exchange Department; Yashwant Trimbak Joshi, the then Manager, Foreign Exchange Department; Prafful Prakash Sawant, the then Officer, Foreign Exchange Department;Mohinder Kumar Sharma and Manoj Hanumant Kharat, the then Single Window Operator

The other two arrested are Ishwardas Agarwal and Aditya Rasiwadia, directors of Chandri Papers Allied Products Private Limited.

All accused have been remanded to police custody till December 21.