Nirav Modi's assets worth Rs 1,000 cr to be restored to PNB, rules special PMLA court
The Enforcement Directorate (ED) had attached these assets during its investigations in the Rs 13,000 crore Punjab National Bank fraud case
- Aug 15, 2021,
- Updated Aug 15, 2021 12:14 PM IST
A special Prevention of Money Laundering Act (PMLA) court has ruled in favour of Punjab National Bank (PNB), allowing its plea seeking the release and restoration of certain properties worth Rs 1,000 crore owned by fugitive diamantaire Nirav Modi.
The Enforcement Directorate (ED) had attached these assets during its investigations in the Rs 13,000 crore Punjab National Bank fraud case, according to a TOI report.
Last month, PNB had sought the release of the said properties worth Rs 1,000 crore to the liquidator of Nirav Modi-owned Firestar Diamond International Pvt Ltd (FDIPL), the resolution professional of Firestar International Ltd and the recovery officer.
"The property mentioned in Schedule-A ... shall be released in favour of the claimant PNB through the liquidator appointed with respect to the FDIPL in terms of the order of the NCLT (National Company Law Tribunal) dated February 26, 2020 ... after obtaining an undertaking to be filed ... to return or restore it as per the direction of this court as and when directed to do so, or the value thereof, as the case may be," conveyed the special PMLA court.
The court added that an appropriate inventory, memo and list should be drafted before the properties are handed over to the concerned authorities. "After release of the property from attachment by the prosecution ED, it shall be dealt with strictly in the manner provided by law ...," it added.
PNB had argued that it has obtained a decree from the Debts Recovery Tribunal (DRT) for the recovery of more than Rs 7,000 crore with respect to default committed by Nirav Modi and his firms.
The fugitive businessman was arrested on March 19, 2019, and has been lodged in London's Wandsworth jail.
Also Read: Nirav Modi's lawyer says extradition to India will worsen his mental health
Also Read: PNB scam: ED recovers Rs 17 cr from Nirav Modi's sister Purvi Modi
A special Prevention of Money Laundering Act (PMLA) court has ruled in favour of Punjab National Bank (PNB), allowing its plea seeking the release and restoration of certain properties worth Rs 1,000 crore owned by fugitive diamantaire Nirav Modi.
The Enforcement Directorate (ED) had attached these assets during its investigations in the Rs 13,000 crore Punjab National Bank fraud case, according to a TOI report.
Last month, PNB had sought the release of the said properties worth Rs 1,000 crore to the liquidator of Nirav Modi-owned Firestar Diamond International Pvt Ltd (FDIPL), the resolution professional of Firestar International Ltd and the recovery officer.
"The property mentioned in Schedule-A ... shall be released in favour of the claimant PNB through the liquidator appointed with respect to the FDIPL in terms of the order of the NCLT (National Company Law Tribunal) dated February 26, 2020 ... after obtaining an undertaking to be filed ... to return or restore it as per the direction of this court as and when directed to do so, or the value thereof, as the case may be," conveyed the special PMLA court.
The court added that an appropriate inventory, memo and list should be drafted before the properties are handed over to the concerned authorities. "After release of the property from attachment by the prosecution ED, it shall be dealt with strictly in the manner provided by law ...," it added.
PNB had argued that it has obtained a decree from the Debts Recovery Tribunal (DRT) for the recovery of more than Rs 7,000 crore with respect to default committed by Nirav Modi and his firms.
The fugitive businessman was arrested on March 19, 2019, and has been lodged in London's Wandsworth jail.
Also Read: Nirav Modi's lawyer says extradition to India will worsen his mental health
Also Read: PNB scam: ED recovers Rs 17 cr from Nirav Modi's sister Purvi Modi