Fugitive diamond businessman Mehul Choksi, who is wanted in India for his role in the Punjab National Bank (PNB) fraud case, has been arrested in Belgium. He was reportedly taken into custody on Saturday and is currently in jail. This has been confirmed by sources in the Central Bureau of Investigation (CBI).
Choksi, 65, was arrested by Belgian police on the basis of two open-ended arrest warrants issued by a Mumbai court. According to Economic Times, these warrants were dated May 23, 2018, and June 15, 2021. He is expected to seek bail, citing poor health and other personal reasons.
Why is Mehul Choksi wanted in India?
Choksi and his nephew Nirav Modi are both accused of defrauding Punjab National Bank (PNB), one of India’s biggest public banks. The scam, which came to light in 2018, involved over Rs 13,500 crore.
The CBI and the Enforcement Directorate (ED) are investigating them. PNB had filed a criminal case against Choksi, Nirav Modi, and others, including the managing director of Choksi’s company, Gitanjali Gems.
They are accused of using fake Letters of Undertaking (LoUs) and Foreign Letters of Credit (FLCs). These were issued by bribing officials at PNB’s Brady House branch in Mumbai. Choksi and Modi fled India in January 2018, just weeks before the scam was made public.
Where was Choksi living before his arrest?
Choksi had been living in Antwerp, Belgium, with his wife, Preeti Choksi, who is a Belgian citizen. He had also obtained a residency card in Belgium. Last month, the Belgian foreign ministry confirmed to NDTV that Choksi was in the country. They said, “The FPS Foreign Affairs continues to closely follow the developments in this important case.”
Although they did not comment on Choksi’s case directly, they added that they were aware of his presence and “attached great importance and attention to it”.
Choksi is also a citizen of Antigua and Barbuda. He had left the island nation for cancer treatment and was planning to shift to Switzerland. In 2021, he went missing from Antigua and was later found in Dominica.
In December 2024, Finance Minister Nirmala Sitharaman told Parliament that properties worth Rs 2,565.90 crore had been restored or sold to repay the debts of fugitives like Choksi.
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