Nehal Modi, brother of fugitive diamond tycoon Nirav Modi, has been arrested in the United States following an extradition request from India. A Belgian national, Nehal was taken into custody on July 4 by U.S. authorities, acting on a Red Corner Notice issued by Interpol at the request of the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED). His arrest comes after a prolonged legal battle in which he unsuccessfully contested the Interpol notice.
Nehal Modi is accused of playing a key role in the ₹13,500 crore Punjab National Bank (PNB) scam, in which his elder brother Nirav is the prime accused. Indian investigators allege that Nehal helped Nirav Modi by destroying evidence, threatening witnesses, and obstructing the probe following the scam's exposure. He also allegedly aided in laundering vast sums of money through shell companies and international financial channels.
His extradition hearing is scheduled for July 17. A bail plea is expected to be filed before the date, although U.S. prosecutors have already indicated they will oppose any such application.
The PNB scam is considered one of India's biggest banking frauds, with Nirav Modi accused of defrauding the bank to the tune of ₹6,498.20 crore, while his uncle Mehul Choksi allegedly diverted ₹7,080.86 crore. Both fled India in early 2018, just days before the fraud came to light. Nirav Modi remains in a UK prison, fighting extradition to India, while Choksi is currently in Antigua, facing separate legal challenges.
(This story is published from a syndicated feed)