Diamond merchant Nirav Modi has refused to appear before the CBI. He was summoned on his official email address to appear for questioning before the premier agency in the Rs 12,700 crore alleged fraud at Punjab National Bank’s Mumbai branch. However, in what can be called as sheer brazenness on Nirav Modi’s part, the businessman has declined saying he has a business to take care of, so he can’t join the investigation.
Sources say the CBI received his reply two days back. The agency has written back to him saying he should immediately contact the Indian High Commission in whichever country he might be, following which his return process would be initiated. He has been asked again to join the investigation next week.
Nirav Modi’s reply to the CBI summon comes a day after state-owned lender PNB reported the money lost in the fraud has shot up to around Rs 12,700 crore from the earlier estimate of Rs 11,400 crore. CBI officials also confirmed that fresh Letters of Undertakings (LoUs) to the tune of Rs 1,251 crore linked to the Gitanjali group of companies have been unearthed by PNB.
In light of the bank-related frauds that have emerged after the PNB scam – like Rotomac Group and Simbhaoli Sugars cases – the government on Tuesday directed all public sector banks to detect bank frauds and consequential wilful defaults in 15 days and refer cases to the CBI.
The department has said all the non-performing assets (NPA) above Rs 50 crore will be examined for possible fraud. These banks have been asked to involve Enforcement Directorate (ED) or Directorate of Revenue Intelligence (DRI) to inquire cases related to violations under the Prevention of Money Laundering Act and the Foreign Exchange Management Act.
Ever since the PNB scam has unfolded, the investigation agencies have confiscated several properties of Nirav Modi. The fraud revelation that started from Rs 280 crore has reached over Rs 12,700 crore as the agency officials warn of many more skeletons in the closet.
