ED seeks to invoke PMLA Act, seize Modi and Choksi's assets

By

Isabelle Crossley

Published
Apr 25, 2018

The Enforcement Division (ED) has made moves to seize assets from Nirav Modi and Mehul Choksi under the Prevention of Money Laundering Act (PMLA) as it seeks to brand the diamond jewellers as fugitives.

As part of the Fugitive Economic Offenders Ordinance, the ED has begun the process of seizing Modi and Choksi’s assets as part of the Punjab National Bank (PNB) fraud case that is ongoing. The ED is also carrying out this process with the businessman Vijay Mallya as part of a separate case.

The Economic Times reported that deliberations within the ED lasted over 48 hours before they approached the PMLA court to ask for Modi and Choksi to be declared fugitives. The two have already defied their non-bailable arrest warrants and multiple calls to return to India to take part in the investigation. The ED hopes to invoke new laws pertaining to economic offenders to catch the two.

The Indian government has assured that the two will be brought back to India in statements by various Ministers including the Defence Minister but Modi and Choksi remain abroad. Both have cited business abroad and security concerns following the revoking of their passports as reasons not to return and their whereabouts is still unclear. However, the ED is now making concrete moves against the two which suggests they may have sufficient information for a case.