A special court designated under the Prevention of Money Laundering Act (PMLA) has granted permission to Punjab National Bank (PNB) to take possession of assets worth ₹66.33 crore, previously attached by the Enforcement Directorate (ED), in connection with the multi-crore Nirav Modi fraud case.
The order, issued by Special Judge A. V. Gujarathi came in response to an application filed by PNB, seeking release of the seized properties to recover a portion of the staggering ₹8,526 crore loss it suffered due to the bank fraud masterminded by Nirav Modi and his associates.
The court directed PNB to furnish an undertaking that it would ensure recovery of the sale amount in case the need arises in future. The ED, which had attached these assets during its money laundering probe under PMLA, informed the court it had no objection to the release, provided certain conditions were met.
The released assets include ₹40.83 crore worth of jewellery, coins, luxury watches, and cash discovered at Nirav Modi’s residence in Samudra Mahal, Worli, Mumbai. Additionally, a residential flat in Purvi Modi’s name, valued at ₹19.50 crore, along with other unvalued movable assets seized from the same premises, have also been cleared for release.
The Enforcement Directorate had previously attached assets totalling approximately ₹2,324.97 crore in connection with the PNB scam. Despite the significant valuation, the amount falls far short of the total financial damage caused to the bank consortium.
The court observed that Nirav Modi continues to remain a fugitive, currently lodged in a London prison while fighting extradition to India. His uncle and co-accused Mehul Choksi is facing legal proceedings in Belgium. Both are the prime accused in the ₹13,500-crore PNB scam that shook India’s banking system in 2018.
While granting relief to PNB, the court balanced the interests of ongoing enforcement actions under the PMLA with the urgent need to recover public money, signaling a critical move in India’s long-standing pursuit of financial justice in the high-profile banking fraud case.
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