RCN against Choksi soon: CBI

Mumbai: The Interpol is likely to issue a Red Corner Notice against fugitive jeweller Mehul Choksi soon following a request from the Central Bureau of Investigation (CBI), which is probing the PNB fraud case related to the alleged fraudulent issuance of Letters of Undertaking (LoU) worth over Rs 12,000 crore to firms controlled by him and fugitive jeweller Nirav Modi.

While the Interpol had last month issued RCN against Modi and two others, it sought clarifications on the probes against Choksi, for which replies were sent and the RCN could be issued any time now, said CBI sources.

“The CBI had sought from Interpol the issuance of RCNs against four accused in the PNB fraud case, including Mehul Choksi. While RCNs have been issued against Nirav Modi and two others, the RCN against Mehul Choksi is also expected soon,” said a CBI official.

According to him, the Interpol sought clarifications related to the CBI’s cheating probe and the Enforcement Directorate (ED)’s money-laundering probe against Choksi.

“The Interpol has not questioned our request for a RCN to be issued against Choksi. They have just sought additional information on the probes against him, which has been provided to them,” the source said.

The CBI case chargesheet in May had described Choksi as an alleged partner in three accused partnership firms.

As per the chargesheet, Mr Choksi had signed on the account-opening form of one of the accused firms, Diamonds R Us, that was submitted to PNB in 1998.        

The LoUs were issued despite the firms’ alleged ineligibility. According to the official, the three accused firms had not been sanctioned the facility to get LoUs issued and they were issued to them without the provision of the 100 per cent cash margin against the LOUs.

The ED has last month submitted its case chargesheet against Mr Choksi and 13 others, accusing them of cheating the bank to the tune of over Rs 6,000 crore by fraudulently getting the LOUs /Foreign Letters of Credits.

M03