Nirav Modi's uncle Mehul Choksi was a part of the PNB scam. He was the proprietor of the retail jewellery company Gitanjali Group. In addition to corruption and criminal conspiracy, he is accused of money laundering and criminal breach of trust.
What is the Canara Bank Fraud
The Canara Bank and the Bank of Maharashtra had sanctioned ₹30 crore and ₹25 crore respectively as working capital facility under a consortium agreement to Bezel Jewellery.
It is alleged that though the loan was granted for the manufacturing and sale of gold and diamond-studded jewellery, the company did not route any of the business transactions through the account to hide diversion of funds.
The company did not repay the loan, causing a loss of ₹55.27 crore to the consortium, the agency has alleged.
CBI has also booked Bezel Jewellery and its whole-time directors, including Choksi, Chetna Jhaveri, Dinesh Bhatia and Milind Limaye.
What is the PNB scam?
The Choksi-Modi duo is suspected of defrauding Punjab National Bank (PNB) of more than ₹14,000 crore through the Punjab National Bank (PNB) scam, which Indian authorities want them for. Choksi has been arrested for criminal conspiracy, cheating, breach of trust, dishonesty, corruption, money laundering, and delivery of property.
On 16 April this year, it was reported that the properties of Choksi have been confiscated by the Income Tax department. The I-T sleuths have also seized Choksi's nine acres of agricultural land in Nashik.
The Punjab National Bank scam relates to the fraudulent letter of undertaking issued by the bank. Jeweller and designer Nirav Modi is the key accused in the case. Both Choksi and Modi fled India after the PNB scam came to light in early 2018. Choksi, promoter and managing director of Gitanjali Gems is the maternal uncle of Nirav Modi. The stock market regulatory body has banned Choksi from the capital markets for one year and has also levied a fine.
Where is Choksi now?
Since 2018, he has resided in Antigua and Barbuda, where he is now a citizen. He vanished from the nation in 2021 and then reappeared in Dominica. He was turned away from the nation.
