Gokulnath Shetty and his wife amassed wealth 238.44 per cent more than their known source of income; he is a key accused in the PNB scam involving Nirav Modi
Shetty has been arrested by both CBI and ED for their cases. File pic
The CBI has registered a disproportionate assets (DA) case against former deputy manager of Punjab National Bank (PNB), Gokulnath Shetty, and his wife Ashalata, for amassing wealth which is 238.44 per cent more than their known source of income.
A list of his property and cash, FDs, and accounts has been mentioned in the FIR which was registered by the CBI on November 15. Shetty is a key accused in the PNB scam involving fugitive businessman Nirav Modi and was in the branch when fraudulent LOUs were issued to Modi and his uncle Mehul Choksi's company, as per the CBI probe.
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Shetty has been arrested by both CBI and ED in their respective cases. As per the CBI FIR, a copy of which is with mid-day, Shetty amassed the wealth from April 1, 2011 to May 31, 2017. He retired from PNB on May 31, 2017.
Wife booked for abetting crime
Before 2011, Shetty had two flats at Borivali West and Goregaon, and a bank balance of Rs 47,12,858. As per the CBI probe, at the end of 2017, he had assets worth Rs 12,499,077. CBI found that he had DA worth Rs 26,30,1801. The agency has calculated his income, expenditure and other investments.
'Bypassed procedures'
His wife has been booked for abetting the crime and both have been booked under relevant sections of the Prevention of Corruption Act. As per the CBI case, Shetty issued a fraudulent letter of undertaking (LOU) in the Rs 13,700 crore scam for seven years and bypassed procedures to help Modi and his company through the Swift system of banking. The CBI has registered two separate offences against Nirav, Choksi and others.
The CBI probe revealed that from 2011 to 2017, the accused PNB officials and others fraudulently issued a large number of letters of undertaking to overseas banks to obtain the buyer's credit in favour of some of the jeweller's firms. Shetty was arrested in February 2018 by CBI.
As per CBI officials, all the entries of foreign exchange needed to be made in the Swift system which is linked to the CBS. But Shetty and others did not make any entries and kept the scam under wraps.
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