PNB Fraud: ED attaches Nirav Modi’s assets worth Rs255 crore in Hong Kong

Diamantaire’s companies in Dubai exported the valuables in gold, jewellery and pearls after case was filed

In a fresh round of action against Nirav Modi in connection with the Punjab National Bank (PNB) fraud, the enforcement directorate attached the diamantaire’s valuables worth ₹255 crore in Hong Kong, under the Prevention of Money Laundering Act (PMLA). With this, the total worth of the attachment in the case has touched ₹4,744 crore.

Nirav Modi has been charged with money laundering (HT file photo)

According to ED sources, after a case was filed against Nirav Modi, his Dubai-based companies exported the valuables, in the form of gold, diamond, jewellery and pearls, in 26 shipments to Hong Kong.

“During investigation, intelligence inputs showed that certain valuables belonging to Modi-controlled companies were lying in the vaults of a Hong Kong-based Logistics Company. Further details such as value, consignee, shipper, ownership of these shipments were obtained through investigation and after gathering the evidences of ownership and value of the goods, they have been attached,” said the agency.

In case of an overseas property, the ED has to send a judicial request to the foreign jurisdiction. “As part of the procedure, the attachment order will now be sent to the authorities in Hong Kong, asking them to restrain the sale of the property,” said an ED officer. The agency is likely to push for a letter rogatory (LR), a formal request from an Indian court to a foreign court, for judicial assistance.

The PMLA Act defines proceeds of crime as “any property derived or obtained, directly or indirectly, by any person as a result of criminal activity relating to a scheduled offence or the value of any such property”.

The agency has attached immovable properties worth ₹218.46 crore in the case this month. These properties belong to Mihir Bhansali, AP Gems and jewellery park Hyderabad, Mehul Choksi and his family members and Nirav Modi.