New Delhi, February 5: The Central Bureau of Investigation on Monday charged celebrity jeweller Nirav Modi in a multi-crore cheating case. Nirav Modi, his brother and wife and a business partner have been booked for allegedly cheating Punjab National Bank of over Rs 280.70 crore crore during 2017, officials said.
In a complaint, the Punjab National Bank has alleged that Modi, his brother Nishal, wife Ami and Mehul Chinubhai Choksi, all partners of Diamond R US, Solar Exports, Stellar Diamonds, were in conspiracy with officials of the bank and cheated it, causing “wrongful loss”, the officials said.
“The public servants committed abuse of official position to cause pecuniary advantage to Diamond R US, Solar Exports, Stellar Diamonds and wrongful loss of Rs 280.70 crore to Punjab National Bank during 2017,” the FIR has alleged.
The CBI has registered the FIR under the Indian Penal Code (IPC) sections related to criminal conspiracy, cheating and provisions of Prevention of Corruption Act against the four, an official said.
The bank claimed that its deputy manager (now retired) Gokul Nath Shetty and Manoj Kharat had fraudulently issued Letters of Understanding (LOUs) without following prescribed procedure by obtaining required request applications, documents and approval of authorities and without making any entries in the bank’s systems.
The banks said they fraudulently issued eight LOUs totalling USD 4.42 crore, equivalent to Rs 280.70 crore, for Hong Kong based Allahabad Bank and Axis Bank.
The bank alleged that it is making an “in depth” inquiry to find outstanding LOUs which have not been detected in its system.
With inputs from PTI