Mehul Choksi's Hong Kong director arrested in PNB fraud case

By

Isabelle Crossley

Published
Nov 6, 2018

On November 5, the Enforcement Directorate (ED) stated that it has arrested Deepak Krishna Rao Kulkarni at Kolkata Airport in connection with the Punjab National Bank (PNB) fraud case.

Kulkarni, a director of an alleged dummy company of the jeweller Mehul Choksi in Hong Kong, was arrested by ED officials in Kolkata Airport when he arrived from Hong Kong on Tuesday. Kulkarni was identified from a Look Out Circular (LOC) that was issued in the airport the day before. ED officials must transfer Kulkani to Mumbai where the case is officially registered.

A non-bailable arrest warrant was issued against Kulkarni as he was listed as an accused on the charge-sheet filed against Choksi and his business the Gitanjali Group. Mehul Choksi has been accused, along with his nephew Nirav Modi, in one of the largest banking scandals in India’s history with fraud totalling over Rs 13,500 crore ($2 billion).

The first money laundering case against Modi and Choksi and some of their business associates was registered on February 15 on the basis of a First Information Report registered by the Central Bureau of Investigation. Charge sheets were subsequently filed on May 24 and May 26.

Choksi, who took citizenship of Antigua and Barbuda, has an extradition request against him and Indian authorities are in communication with the country’s respective authorities concerning the matter.