PNB scam: ED seeks to declare Nirav Modi's brothers Fugitive Economic Offenders

New Delhi: The Enforcement Directorate (ED) has filed applications before a court in Mumbai seeking to declare absconding diamond businessman Nirav Modi's brothers Neeshal and Nehal Modi `Fugitive Economic Offenders' (FEO) in the Punjab National Bank (PNB) scam.

The applications were recently moved before the special court for Prevention of Money Laundering Act cases under the FEO Act. Judge A V Gujarathi will hear them on February 18.

PSU Watch is now on Whatsapp Channels. Click here to join

Once a person is declared an FEO, their assets can be attached or confiscated.

Nehal Modi helped Nirav move and hide large amounts of money through fake companies and overseas transactions, the ED has claimed.

Neeshal Modi was involved in the appointment of dummy partners and was a signatory or a beneficiary in some Dubai-based dummy companies between 2011 and 2013, an ED charge-sheet alleged.

Nehal Modi was arrested in the US in 2025, and is fighting the extradition proceedings initiated against him by the ED and CBI.

The ED, meanwhile, also sought to declare senior executives of Nirav Modi's firm, Aditya Nanavati and Sandeep Mistry, as fugitives.

Absconding diamond businessman Mehul Choksi and his nephew Nirav Modi are accused of siphoning off over Rs 23,780 crore from the PNB using fraudulent Letters of Undertaking (LoUs) and foreign Letters of Credit (FLCs) by bribing its officials.

The special court had in 2019 declared Nirav Modi a Fugitive Economic Offender, while ED's similar plea against Choksi is still pending.

Currently, Choksi is facing extradition proceedings, while Nirav Modi is lodged in a London jail.

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)