Mehul Choksi, a fugitive Indian businessman, has been arrested in Belgium in connection with one of India's largest bank scams. Choksi is accused of being involved in a $1.8 billion fraud case against Punjab National Bank (PNB), India's second-largest state-run lender. The alleged scam, which came to light in 2018, involved the issuance of fraudulent Letters of Undertaking (LoUs) at a single PNB branch in Mumbai.
Choksi, who was the managing director of Gitanjali Gems, fled India in January 2018 before an FIR was registered against him. He had obtained citizenship of Antigua and Barbuda, where he lived until recently. Choksi was detained in Belgium, where he had been receiving medical treatment, following an extradition request from Indian authorities.
The Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED) have been pursuing Choksi's extradition for years. His arrest marks a significant development in the case, which also involves his nephew, Nirav Modi, who is currently in British custody.
Choksi's legal team plans to appeal his detention, citing his ongoing cancer treatment and arguing that he is not a flight risk. The Indian government has been working to bring Choksi back to face trial under the Fugitive Economic Offenders Act, which allows for the confiscation of assets before trial.
This high-profile arrest underscores India's efforts to combat large-scale financial crimes and bring fugitive offenders to justice. The case has been a major focus for Indian authorities, who are determined to recover the losses incurred by PNB and ensure accountability for those involved.