ED attaches Thailand property in PNB fraud

Updated: Jan 05, 2019, 11:54 IST | Diwakar Sharma | Mumbai

The overseas property was identified during investigation, and was attached after gathering concrete evidence of ownership

Nirav Modi
Nirav Modi

In the infamous Punjab National Bank (PNB) scam involving businessman Nirav Modi, among others, the Enforcement Directorate (ED) has identified a property in Thailand as a beneficiary in the fraud. The property, worth Rs 13.14 crore, has been provisionally attached in the case under the Prevention of Money Laundering Act (PMLA), 2002. A factory premise, it is owned by M/s Abbeycrest (Thailand) Limited, which is a group company of the Gitanjali Group.

The ED had last year registered two separate money laundering cases in the PNB bank fraud against Nirav Modi , Mehul Choksi, a few PNB employees and others under the provisions of PMLA, 2002 on the basis of an FIR registered by Central Bureau Of Investigation under sections 120-B r/w 420 of the Indian Penal Code, and some sections of the Prevention of Corruption Act, 1988.

It was alleged that the accused have cheated Punjab National Bank in connivance with certain bank officials by getting the Letters of Understanding (LOUs) issued fraudulently and subsequently securing the enhanced Foreign Letters of Credit (FLCs), ignoring prescribed procedure. Investigations under the PMLA revealed that M/s Abbeycrest (Thailand) Limited is the beneficiary of the fraudulent LOUs issued from PNB to the tune of Rs 92.3 crore.

The overseas property was identified during investigation, and was attached after gathering concrete evidence of ownership. The value of attachment/seizure in the PNB scam has now reached approximately Rs 4,765 crore. Further investigation is in process.

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