On February 25, a District Judge at the Westminster Magistrates’ Court in London will deliver his order on the extradition of fugitive diamond trader Nirav Modi to India. Nirav Modi & his uncle Mehul Choksi are accused of routing transactions of about Rs 13,600 crore through fraudulent Letters of Undertaking (LoUs) of Punjab National Bank (PNB). Both men left India in the first week of January 2018, weeks before the scam was revealed.
Enforcement Directorate (ED) has alleged that Nirav Modi diverted over Rs 4,000 crore of the Rs 6,519 crore outstanding fraudulent LoUs issued by PNB to his firms, through 15 “dummy companies” based in the UAE & Hong Kong. Nirav Modi has denied any wrongdoing & has told the UK court that obtaining LoUs is standard practice for companies.