Enforcement Directorate officials outside a Punjab National Bank branch in Thane during a raid in connection with the Nirav Modi fraud.(PTI File Photo)
Enforcement Directorate officials outside a Punjab National Bank branch in Thane during a raid in connection with the Nirav Modi fraud.(PTI File Photo)

CBI seeks details of Nostro transactions with PNB from five banks

The overseas branches Canara Bank, Bank of India, State Bank of India, Allahabad Bank and Axis Bank had credited over Rs 11,400 crore into the Nostro account of Punjab National Bank on the basis LoUs given by to Nirav Modi and Mehul Choksi
Press Trust of India, New Delhi | By HT Correspondent
UPDATED ON FEB 26, 2018 08:42 PM IST

The Central Bureau of Investigation (CBI) has sought from the chief vigilance officers of five banks the details of financial transactions in the Nostro accounts of Punjab National Bank on the basis of 293 fraudulent Letters of Undertaking issued by it to jewellers Nirav Modi and Mehul Choksi, officials said.

The overseas branches of Canara Bank, Bank of India, State Bank of India, Allahabad Bank and Axis Bank had credited over Rs 11,400 crore into the Nostro account of Punjab National Bank on the basis of the guarantees (LoUs) given by to Modi and Choksi, they said.

The Nostro account refers to an account that a bank holds in a foreign currency in another bank overseas to enable foreign trade by its clients.

The CBI has now written to these five banks, having branches in Antwerp, Frankfurt, Mauritius, Hong Kong and Bahrain — to provide details of all such transactions to dig out a clear money trail of Rs 11,400 crore.

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