New Delhi, July 05: In a significant development in the Punjab National Bank (PNB) scam case, Nehal Modi, younger brother of fugitive diamantaire Nirav Modi, has been arrested in the United States. The US Department of Justice confirmed that Nehal, a Belgian national, was taken into custody on July 4 following an extradition request from the Indian government. The request was jointly submitted by the Enforcement Directorate (ED) and the Central Bureau of Investigation (CBI).

Nehal Modi is now facing extradition proceedings in a US court. According to the prosecution complaint, he has been charged with money laundering under Section 3 of the Prevention of Money Laundering Act (PMLA), 2002, and criminal conspiracy and destruction of evidence under Sections 120-B and 201 of the Indian Penal Code (IPC). Interpol Red Corner Notice Against Nirav Modi's Brother Nehal Deepak.

Who Is Nehal Modi?

Nehal Modi is the younger brother of Nirav Modi, the prime accused in India’s multi-crore PNB bank fraud case. A Belgian national, Nehal has previously come under legal scrutiny. In 2020, he was indicted in the US for allegedly defrauding a leading diamond company in Manhattan of over USD 2.6 million by obtaining diamonds through false representations. He has long been suspected of playing a key role in laundering illicit funds on behalf of Nirav Modi through shell firms and overseas transactions. Interpol Issues Red Corner Notice Against Nehal Deepak Modi, Brother of PNB Fraud Accused Nirav Modi.

What Led to Nehal Modi’s Arrest? 

Indian authorities allege that Nehal Modi helped his brother conceal and route large sums of money acquired through the PNB fraud. He is accused of orchestrating transactions involving criminal proceeds and destroying key evidence. His arrest follows India’s official request for extradition based on serious charges of financial crime. The next court hearing in the US is scheduled for July 17, when he may seek bail—though US prosecutors have confirmed they will oppose the motion.

Nehal Modi’s arrest marks a crucial step in India’s efforts to bring to justice key players in the country’s biggest banking fraud. With extradition proceedings underway and strong opposition from US prosecutors, the upcoming court session will determine the course of India’s long-standing legal pursuit.

(The above story first appeared on LatestLY on Jul 05, 2025 03:27 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).