Nirav Modi case: CBI arrests PNB's ex-Deputy Manager, two others
The CBI has arrested Punjab National Bank's former Deputy Manager Gokulnath Shetty, Single Window Operator Manoj Kharat, and the authorized signatory of Nirav Modi Group of Firms Hemant Bhat in connection to the alleged Rs. 11,400cr banking fraud by Nirav Modi and Mehul Choksi. Shetty is the co-accused in the case in which high-profile jeweler Nirav Modi is the prime suspect. Here's more.
All three arrested persons to appear before CBI court
Shetty, Kharat, and Bhat will be produced before a CBI Special Court in Mumbai today. On 16 February, CBI filed a fresh FIR in the PNB scam case in which it named as many as 16 persons, including Gitanjali Group's Mehul Choksi - Nirav Modi's maternal uncle and two PNB officials. Meanwhile, the Enforcement Directorate is also conducting raids at Gitanjali stores across India.
LIC lost Rs. 1,400cr on investments in PNB and others
Meanwhile, the Rs. 11,400cr fraud hit not only PNB but also several other banks and entities. The shares of PNB, Allahabad Bank, Union Bank of India, Gitanjali Gems, and state-owned Life Insurance Corporation fell sharply over the last few days. LIC, the single-largest institutional investor in PNB, UBI, Allahabad Bank and Gitanjali, lost Rs. 1,400cr on its investments in the last three trading sessions.
Rs. 5,649cr worth assets seized so far: Authorities
On 16 February, the ED raided six premises in Maharashtra's Mumbai, Pune, Kolhapur, and Nagpur that are connected to Nirav Modi. Searches at various other properties linked to Modi and his wife Ami, including two residences, were conducted earlier. Authorities said a total of Rs. 5,649cr-worth assets, including jewelry, gold, diamonds, precious metals and stones, were seized in the raids (as on 15 February).
Passports suspended for four weeks by MEA
The External Affairs Ministry has suspended the passports of Nirav Modi and Choksi for four weeks; their passports would be revoked if the Ministry doesn't receive a response from them within seven days. "After suspension of his (Nirav Modi) passport, he cannot move to a different location. Wherever he is, he will remain in the same country," according to an MEA spokesperson.
Modi surfaced at luxurious hotel suite in New York: Reports
Though MEA denied knowing Modi's whereabouts, reports claim he was seen at New York's luxurious JW Marriott's Essex House. The I-T Department, meanwhile, attached 29 properties, 105 accounts, and companies of Modi and his wife; CBI registered fresh complaints against Choksi and his companies.
BJP blames Congress for PNB banking fraud
Meanwhile, BJP and Congress blamed each other for the PNB scam involving Nirav Modi and Mehul Choksi. Congress claimed that the actual size of the PNB scam was Rs. 21,306cr and lashed out at PM Modi and the government for Nirav Modi's escape on January 1. The BJP, however, retorted that the banking fraud was perpetrated in 2011, during the Congress-led UPA rule.
High-profile celebs, politicians regularly made cash-purchases at Nirav Modi stores
Last year, Income Tax Department raided companies linked to Nirav Modi and Mehul Choksi over possible tax-evasion after demonetization. Officials instead found a list of high-profile celebrities and politicians who made cash purchases from Modi's stores to conceal actual amounts. They also unearthed other information vital for building a case against Modi and Choksi.
