City Reports

PNB Scam: CBI registers FIR against Gitanjali Group, carries out searches in Jaipur

CBI is carrying out searches against Gitanjali Group of Companies offices in Jaipur, Mumbai and Pune, Surat, Hyderabad and Coimbatore.

| Updated:
February 19, 2018 4:33 pm
CBI

 

Jaipur: The Central Bureau of Investigation (CBI) has registered an FIR against Gitanjali Group of Companies whose officers in Jaipur were searched by Enforcement Directorate (ED) on Thursday in connection with the Punjab National Bank (PNB) scam. Mehul Choksi has been named in the FIR.

CBI is carrying out searches against Gitanjali Group of Companies offices in Jaipur, Mumbai and Pune, Surat, Hyderabad and Coimbatore.

A CBI spokesperson said, “Searches are going on at locations belonging to Choksi and other directors of the accused companies, group factories, manufacturing units, offices and residences”.

In the case the alleged loss to PNB is estimated to be Rs 4886.72 croes.

Three companies of Choksi named in the FIR are Gitanjali Gems, Gili India and Nakshatra Brand Limited.

Accused PNB officials – Shetty and Karat, in conspiracy with private persons sent unauthorized LoUs and foreign letters of credit to overseas branches of Indian banks for release of funds to the suppliers of the accused companies or to clear their liabilities, according to the spokesperson.

ED on Thursday carried out raids at Gitanjali Jewellers manufacturing units in in Sitapura Industrial Area of Jaipur. The company is registered with SEBI and has showrooms in nearly 220 cities across the country.

The scam has exposed corruption and flaws in the country’s banking system. The main accused is Nirav Modi, born into a family of diamond merchants where the empire spread across continents.

First published: February 16, 2018
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