ED charges jeweller Mehul Choksi in PNB case

By

Isabelle Crossley

Published
Jun 29, 2018

On June 29, the Enforcement Directorate (ED) announced that it has filed a prosecution complaint against the owner and promoter of Gitanjali Gems, Mehul Choksi, as part of the Punjab National Bank (PNB) fraud case.

Choksi has been charged under the Prevention of Money Laundering Act, 2002 (PMLA) in connection with the Rs 13,400 crore ($2 billion) fraud at the PNB in which Choksi’s nephew Nirav Modi is also accused. Along with Choksi, 13 other entities have also been charged, comprising eight people and five businesses, all under Section 4 of the PMLA.

The ED tweeted: "ED files prosecution complaint against Mehul Choksi and others including M/s Gitangali Gems Pvt Ltd, M/s Gili India Ltd, and M/s Nakshatra Brand Ltd in Bank fraud case." This development follows the ED’s successful plea to a Mumbai special court earlier in the week to request Nirav Modi’s extradition from several countries where he is believed to have been staying.

Choksi was issued a non-bailable arrest warrant in April this year in connection to the case. However, on June 28, Choksi asked the Central Bureau of Investigation (CBI) court to cancel the arrest warrant due to his ill health and a fear of a threat to his life.