Nirav Modi's company Firestar Diamond International Private Limited has approached the Delhi High Court against seizing of movable properties of the company by the Enforcement Directorate (ED) in connection with PNB scam.
Anand Sharma said Congress leaders like him, Azad and others had given notices for suspension of all business to discuss the "biggest bank fraud in the history of Independent India" in which "the loot of public money" is rising. ICICI Bank, with a loan of Rs405 crore reportedly, was a lead banker in this consortium and Axis Bank too had a major exposure in it.
Choksi and Modi are accused of defrauding the PNB of Rs. 12,600 crore, with Rs. 1,300 crore being added to the fraud total February 26. It may be noted that several properties of Modi and co-accused Mehul Choksi have been seized by ED.
Mumbai: A special Central Bureau of Investigation (CBI) court on Tuesday extended the custody of Gokulnath Shetty, one of the prime accused in Punjab National Bank (PNB) fraud case, till March 17. SFIO sources indicated they may soon summon other banks that are part of the consortium. The bank's exposure to these entities is about Rs200 crore, it added. "His popularity is no good for the country if he is unable to bring back to the country the people behind these huge bank scams", Azad said.
"PNB has apprised that as per its preliminary investigation, unauthorised letters of undertaking were being issued from 10.3.2011 and the matter was detected when the bank was approached on 16.1.2018 with a request to allow buyers' credit for making payment to overseas suppliers".
The CBI has alleged that Shetty, a retired deputy manager of PNB, fraudulently issued 143 LoUs. Even more inexcusable is the fact that of Rs. 19,317 crore, a pittance of Rs. 2.50 crore could be recovered.
The CBI on Tuesday arrested the Vice President (Banking Operations) of Gitanjali Group, Vipul Chitalia, in connection with the PNB loan fraud case.
Finance minister Arun Jaitley, however, told parliament on Tuesday that PNB had "sound fundamentals and strong growth potential" with its high share of low-priced current and savings accounts deposits, stabilising bad loans and scope to raise funds by selling non-core assets.