PNB fraud: Nirav Modi may face non-bailable warrant; top 10 developments

As part of its probe in the PNB fraud case, ED will send judicial requests to over a dozen countries for obtaining information about the overseas businesses and assets of Nirav Modi and Mehul Choksi

Nirav Modi and Mehul Choksi's overseas businesses and assets across more than a dozen countries are under the scanner of the Enforcement Directorate (ED), which will soon send judicial requests to countries like Belgium, Hong Kong, Switzerland, the United States, the United Kingdom, Dubai, Singapore, and South Africa for obtaining information about them as part of the widening of its probe into the Rs 114-billion Punjab National Bank (PNB) fraud case.

Nirav Modi, his wife Ami, and uncle Mehul Choksi have been summoned by the ED to appear at its zonal office in Mumbai on Monday. According to sources, if they skip the summons, the agency could approach a special PMLA court to get non-bailable warrants issued against them.

Modi has already had his luxury cars, including a Rolls Royce Ghost, a Mercedes Benz, and a Porsche Panamera, and imported watches, seized in the past week. During the weekend, the Income-Tax department seized over 150 paintings by renowned artists from Nirav Modi's warehouse located at Wadala in Mumbai.

While probe agencies continue to put pressure on Modi and Choksi, the Institute of Chartered Accountants of India (ICAI) assured of an "accelerated inquiry" into auditors' role in the PNB fraud.

Meanwhile, on Sunday, the Central Bureau of Investigation (CBI) examined PNB's Executive Director K V Brahmaji Rao for a second day in connection with the PNB scam.

Here are the top 10 developments in the massive banking scam involving one of India's richest men, Nirav Modi:

1) PNB scam goes international as ED expands probe to 17 countries: Soon, the ED will be sending judicial requests to over a dozen countries for obtaining information about Modi and Choksi's overseas businesses and assets. According to official sources, the probe agency will approach a Mumbai court with the request to obtain Letters Rogatories (LRs) to be sent to 15-17 countries. The agency has traced the footsteps of the firms owned by Modi, his uncle Choksi and others associated with them to these countries.

These LRs would be sent to Belgium, Hong Kong, Switzerland, the United States, the United Kingdom, Dubai, Singapore, and South Africa, among others. Further, official requests on the basis of agency-to-agency exchange will also be sent.

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With this exercise, the ED aims to obtain the details of Modi and Choksi's overseas financial holdings, their bank accounts, assets, partnerships, showrooms, trusts, and other assets. According to sources, the agency will investigate these assets and their sources of income.

Subsequently, if needed, they will be attached under the criminal sections of the Prevention of Money Laundering Act (PMLA).

2) Non-bailable warrants could be issued against Modi & co: The ED has summoned Modi, his wife Ami, and Choksi to appear at its zonal office in Mumbai on Monday.
According to sources, the agency could approach a special PMLA (Prevention of Money Laundering Act) court to get non-bailable warrants against them if they skip the summons.

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