Mehul Choksi, who fled, issued an unbailable arrest warrant in Mumbai court in Rs 550 crore loan fraud case
The warrant for non-bail against him was issued by other Chief Judicial Magistrate (Esplanade Court) RB Thakur. The matter has been adjourned until June 2 for a warrant report.
A court in Mumbai issued a non-bailable arrest warrant against Diamantaire Mehul Choksi in a consortium led by Canara Bank, involving approximately Rs 5.5 crore. Choksi, the main alleged charge in the Punjab National Bank (PNB) fraud case, was arrested in Belgium on April 12 after an extradition request was filed by the Indian investigative agency.
The warrant for his non-bail was recently issued by the additional Chief Judicial Magistrate (Court of the Marina Post Office) RB Thakur.
The matter has been adjourned until June 2 for a report on the arrest warrant.
The Central Bureau of Investigation (CBI) claims that Bank of Kanana and Bank of Maharashtra approved Rs 300 crore and Rs 250 crore respectively because it is in line with a joint venture of Bezel Jewel under the consortium agreement.
According to CBI, the loan is used for the manufacturing and sale of gold and diamond laying jewelry, but the company allegedly did not use it for its intended purpose.
The agency said the company did not repay the loan, causing the consortium to lose Rs 552.7 billion.
Choksi and his nephew Nirav Modi were charged in a PNB fraud of 13,500 crore.
When Choksi fought for bail in a Belgian court, Nirav Modi has been in jail in London since 2019.
(This story has not been edited by DNA staff and published from PTI).
