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PNB fraud: HC seeks ED reply on plea by Mehul Choksi's firm

02:11 PM Apr 06, 2018 | Team Udayavani |

New Delhi: The Delhi High Court on Friday sought the Enforcement Directorate’s response on a plea by diamantaire Mehul Choksi’s firm Gitanjali Gems in a money laundering case in connection with the over Rs 11,000 crore Punjab National Bank (PNB) fraud case.

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Justices S Muralidhar and I S Mehta issued a notice to the ED, which was represented through advocate Amit Mahajan, on the plea challenging the illegal seizure of documents and articles by the probe agency. The court said it will hear the matter along with a similar pending plea of billionaire Nirav Modi’s firm Firestar Diamond on April 11.

Advocate Sanjay Abott, appearing for Gitanjali Gems, sought direction to quash the ED’s move of seizing the firm’s moveable properties. Nirav, his uncle Choksi and others are being investigated by multiple probe agencies after the scam came to light in January following a complaint by the PNB that they had cheated the nationalised bank to the tune of Rs 11,400 crore, with the purported involvement of a few employees of the bank.

The ED has registered the money laundering case against Nirav Modi, his firms and others on the basis of a CBI FIR. The CBI and the ED have registered the cases and intensified the crackdown on Nirav Modi and Choksi with the ED seizing jewellery and assets worth thousands of crores of rupees, the I-T department attaching various properties, and the CBI grilling several senior executives of his company.

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