New Delhi, Feb 18: The Enforcement Directorate (ED) on Sunday began raid at a Gitanjali store in Raipur in connection with the Punjab National Bank (PNB) fraud case involving businessmen Nirav Modi and Mehul Choksi. The raid came after the agency filed a money laundering case against Nirav Modi, his wife Ami, brother Nishal and relative Mehul Choksi on February 14, following a complaint by the PNB. Also Read - Fire Breaks Out at Paint Factory in Raipur, 5 Fire Tenders Rushed to The Spot
The agency had conducted searches at several places linked to Nirav Modi in Mumbai, Delhi, and Gujarat, and seized diamonds, jewellery and gold worth Rs 5,649 crore. (Also Read: PNB Scam: Indian Banks May Take Over Rs 17,600 Crore Hit From Nirav Modi Fraud, Says I-T Dept) Also Read - PNB Scam: Nirav Modi Remanded in Custody by UK Court Until April 15
Earlier on Saturday, the ED had conducted raids at Akshat Jewellery showroom in Raipur’s Ambuja Mall wherein Jewellery worth Rs one crore was unearthed that reportedly belongs to Choksi’s relative.
The ED had yesterday conducted searches at 21 locations across India in connection with the infamous case and had seized diamonds, gold, precious stones and jewellery worth Rs 25 crore.
State-owned PNB has been rocked by a USD 1.77 billion scam where billionaire jeweller Nirav Modi allegedly acquired fraudulent letters of undertakings (LoUs) from the Brady House branch in south Mumbai to secure overseas credit from other lenders. The scam was started in 2011 and was detected in the third week of January this year, after which the PNB officials filed a complaint with the CBI on January 31.
The other banks which have or have had exposure to the fraud include State Bank of India (over USD 221 million), Allahabad Bank and Axis Bank among others. Some overseas lenders are also believed to have had exposure to the fraud.
(With inputs from agencies)