The CBI, in its charge sheets filed on May 14, had alleged that Nirav Modi, through his companies, siphoned off funds to the tune of Rs 6,498.20 crore using fraudulent LoUs issued from PNB's Brady House branch in Mumbai. Choksi allegedly swindled Rs 7080.86 crore, making it possibly the biggest banking scam in the country, it alleged.
Nirav Modi and his uncle Mehul Choksi are being investigated by the Enforcement Directorate for allegedly cheating PNB, the country's second largest lender, to the tune of more than Rs 13,000 crore.
Punjab National Bank, India's second-largest state-run bank, said earlier in 2018 that two jewellery groups headed by Modi and his uncle Mehul Choksi had defrauded it of about $2.2 billion by raising credit from overseas branches of other Indian banks using illegal guarantees issued by rogue PNB staff at a Mumbai branch over several years.
The move comes as the agency is planning to file a Red Corner Notice against Nirav Modi and Mehul Choksi
CBI Joint Director Rajiv Singh, who is overseeing a probe into the USD 2 billion PNB scam allegedly involving diamantaires Nirav Modi and Mehul Choksi, has been prematurely repatriated to his home cadre of Tripura.
The ED chargesheet filed Thursday also details the attachments made by the agency against Modi and his associates in the last few months after it first registered an FIR in the PNB fraud case. It focuses on the money laundering aspect and the role of Nirav Modi and others in perpetrating the alleged fraud, a senior official said.
The central probe agency here said it issued a provisional order under the Prevention of Money Laundering Act (PMLA), attaching four commercial premises -- with the market value of Rs 72.87 crore -- in Mumbai and Surat, 106 bank accounts holding Rs 55.12 crore of deposits, 15 demat accounts containing Rs 35.86 crore, and 11 cars valued Rs 4.01 crore.
Modi along with his wife Ami, a US citizen, brother Nishal a Belgian, and uncle Choksi, Gitanjali group's promoter, had fled the country before the bank approached the CBI with a complaint against his companies for allegedly cheating through fraudulent issuance of Letters of Undertakings (LoUs) and Foreign Letters of Credit (FLCs).
Gandhi, who was addressing a rally of farmers and tribal people at Sitapur in Chhattisgarh, promised a farm loan waiver across the country if the Congress returned to power in 2019.
The veteran banker has been named in the CBI chargesheet relating to the Rs 13,000 crore-plus fraud at Punjab National Bank which she headed earlier as CEO
Provisions for the quarter trebled to Rs 16,202 crore, from Rs 5,753.3 crore in March quarter 2017.
Punjab National Bank, which is at the centre of a near Rs 13,000 crore fraud involving jewellers Nirav Modi and Mehul Choksi, is set to report a loss of Rs 3,908.6 crore for the fourth quarter ending March 2018, as per Reuters poll estimates.
Set for superannuation on September 30, 2018, the former PNB chief CEO and managing director currently heading Allahabad Bank, will soon be on her way out much earlier
CBI has filed a chargesheet against former PNB managing director and CEO Usha Ananthasubramanian in relation to the transactions done by the bank with Nirav Modi
Ananthasubramanian was the MD and CEO of PNB from 2015 to 2017 and was questioned recently by the CBI in connection with the case.
These numbers suggest that right after the scam came to light, other jewellers used up their existing credit limits to escape the methods that banks employed for self-protection
For the full financial year, the bank reported a net loss of Rs 5,871.74 crore. It had registered a net loss of Rs 1,094.07 crore in the preceding 2016-17 fiscal.
The investigative agency is probing if Nirav Modi used her or any entities associated with her to route funds, a report suggests
Spokesperson Raveesh Kumar said that inelligence agencies had last approached the ministry with Hong Kong as a possible location.
The bank plans to approach other jurisdictions where Nirav Modi and his associates have assets and properties as part of recovery process, a senior PNB official said.
Diamond merchants Nirav Modi and his uncle Mehul Choksi are alleged to have perpetrated the country's biggest banking sector scam at Punjab National Bank, mainly by way of issuance of fraudulent Letters of Undertaking (LoUs).
The government’s claim each time a scam has taken place is that the law will take its own course. There is invariably a lot of sound and fury – signifying nothing
Insurance companies are witnessing a rise in demand for errors and omissions as well as directors and officers liabilities cover from financial institutions
A high-level group constituted by the institute is studying specifically the systemic issues involved in the PNB fraud and would also suggest remedial measures for strengthening the banking system.
The agency questioned three officials from foreign branches of Indian banks, which had given credit facilities to the companies of absconding billionaire jewellers Nirav Modi and Mehul Choksi, on the basis of Letters of Undertaking (LoUs) issued by Punjab National Bank's Brady House branch in Mumbai.