PNB Scam: CBI issues look out circulars against 10 executives of Nirav Modi firm

The Central Bureau of Investigation (cbi) on Monday has issued look out circulars against 10 executives working in firms run by Nirav Modi and Mehul Choksi in connection with the multi-crore loan default PNB scam.

The CBI issued the circulares after the 10 executives associated with firms of Nirav Modi and Mehul Choksi failed to join the agency in the probe.

The investigating agency believes that the 10 executives have fled the country around the same time Modi and Choksi flee from India.

State-owned Punjab National Bank earlier this month said it has detected a USD 1.77 billion scam in which billionaire jeweler Nirav Modi allegedly acquired fraudulent letters of undertaking from one of its branches for overseas credit from other Indian lenders.

The CBI and the ED have registered two FIRs each to probe the case. Both Modi and Choski are said to have left the country before criminal cases were lodged against them.

The case has been registered on the basis of the FIR registered by Central Bureau of Investigation. The agency, they said, would probe if the allegedly defrauded bank funds were laundered and these proceeds of crime were subsequently used by the accused to create illegal assets and black money.

Also read | PNB fraud case: ED registers Prevention of Money Laundering Act case against Nirav Modi, others

The CBI had booked diamond merchant Nirav Modi, his brother, wife and a business partner for allegedly cheating PNB of over Rs 11,000 crore.