One of the top diamond merchants of India, Nirav Modi has been charged by CBI in the Rs. 280-Crore cheating case on Monday. The CBI has booked Nirav Modi, wife Ami, his brother Nishal Modi, all partners of Diamon R US, Solar Exports, Stellar Diamonds and Punjab National Bank officials for cheating the bank to the tune of Rs 280.7 crores.
The CBI has registered the FIR under the Indian Penal Code (IPC) sections related to criminal conspiracy, cheating and provisions of Prevention of Corruption Act against the four, an official said
The bank has alleged in the complaint that a fraudulent issuance of Letters of Undertakings (LOU) took place on January 16, 2018 for and on behalf of the accused firms, which approached the bank and presented a set of import documents to the branch with a request to allow buyers' credit for making payment to overseas suppliers
The Income Tax department had raided over 50 offices and residential premises of Nirav Modi and seized cash, jewellery and several documents that allegedly reveal tax evasion by Modi's firms.
According to reports, the raids were carried out over 10 days ago and lasted for over four days, covering Modi's office and residences in Mumbai, premises in Delhi, Jaipur and SEZ units in Surat.
Modi was named in the Forbes India's Richest People List 2016, with a net worth of $1.74 billion. Modi is known for his high-value jewellery that cost as much as Rs 50 crore and regularly feature at auctions conducted by houses like Christie's and Sotheby's.
(With agency inputs)