PNB fraud: ED seizes luxury cars, more assets of Modi, Choksi


"When we had submitted the proposal for holding the discussion, we had apprehensions whether it would be accepted or not".

"Nirav Deepak Modi and Mehul Chinubhai Choksi have been asked to respond within one week as to why their passports should not be impounded or revoked under Section 10 (3) (c) of the Passports Act 1967".

The Central Bureau of Investigation (CBI) during its probe into the Punjab National Bank (PNB) scam in which Jeweller businessman Nirav Modi is the main accused, on Thursday confirmed in a statement that Vipul Ambani was fully aware of the fraudulent LoUs that were used in the scam.

The duo, accused for a massive bank fraud amounting to Rs 11,400 crore, had escaped the country in January after agencies initiated an investigation into an alleged fraud at the Punjab National Bank (PNB).

As per CBI officers, Vipul had not been arrested as he had denied any knowledge or involvement in the case.

Jindal is presently posted as GM, Credit, PNB Head Office, New Delhi.

According to local media, the practice of issuing Letters of Undertaking (LOUs) to Nirav Modi's businesses without sanctioned limits started during Jindal's tenure at the branch.

Among those arrested by the Central Bureau of Investigation (CBI) was Rajesh Jindal, now a general manager with the bank, who between August 2009 and May 2011 ran the Mumbai branch at the centre of the biggest fraud in Indian banking history.

Indian authorities Thursday froze equities and seized nine luxury cars belonging to disgraced billionaire jeweller Nirav Modi and his firms in connection with the country's biggest-ever bank fraud of 1.8 billion US dollars. The bank named Modi, his brother Nishal Modi, wife Ami Modi and uncle Mehul Chinubhai Choksi as suspects in its complaint.

While the total value of these shares and mutual funds is Rs 94.52 crore, the costly four-wheelers are worth a few crores and hence the total seizure value stands to be over Rs 100 crore, the officials said.

The Enforcement Directorate (ED), an Indian agency focused on foreign exchange and money laundering offences, has been conducting separate searches at homes and offices of Modi. It is probing 120 companies on suspicion of being shell firms linked to Modi and Choksi. He and his family fled India weeks before the bank registered a criminal case with the CBI on January 31.

New Delhi suspended the passports of Modi and Choksi following reports the pair had left the country.