A London court has ordered fugitive businessman Nirav Modi to pay more than USD 10.7 million (over ₹100 crore) to Bank of India in a loan recovery case.
The London Circuit Commercial Court found that Modi had given a personal guarantee in 2012 for a loan to his Dubai-based Firestar Diamond FZE and is personally liable after the company defaulted. The bank initiated recovery proceedings after the Firestar Group’s finances deteriorated following investigations linked to the larger PNB fraud.
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Modi challenged the recovery in the UK, arguing the guarantee was unenforceable and that Bank of India had not issued a valid demand, but the court rejected these claims and noted a 2025 demand notice had been sent to the prison where Modi is lodged.
Modi has been detained in a London prison since his 2019 arrest on India’s extradition request in the ₹6,498 crore Punjab National Bank case. He recently approached the European Court of Human Rights seeking to halt his extradition, though Indian officials say this is unlikely to succeed and will only delay repatriation briefly. The latest judgment requires Modi to repay the outstanding dues under the guarantee as proceedings continue.
