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  Metros   Mumbai  09 Apr 2018  PNB scandal: CBI summons officers from Hong Kong

PNB scandal: CBI summons officers from Hong Kong

THE ASIAN AGE.
Published : Apr 9, 2018, 2:08 am IST
Updated : Apr 9, 2018, 2:08 am IST

The CBI is also questioning officers of certain overseas branches of Indian banks.

Nirav Modi
 Nirav Modi

Mumbai: The Central Bureau of Investigation (CBI) has summoned officers from Hong Kong and is questioning them in connection with the diamantaire Nirav Modi bank fraud case worth over Rs 12,400 crore. These officers had dealt with Forex transactions in Allahabad Bank in Hong Kong branch after the tainted Punjab National Bank’s (PNB) Brady House branch issued Letter of Undertakings (LoUs) to them.

The CBI is also questioning the officers of overseas branches of Indian banks that extended alleged credit facilities on the basis of LoUs issued by the PNB to firms related to Nirav Modi and Mehul Choksi. The funds were issued to the duo after at least 143 LoUs were fraudulently issued by the PNB.

“The exact roles of the bank employees concerned need to be ascertained based on the communications from the Brady House branch to the concerned overseas bank branches. The statement of these employees will shed more light on it,” said a CBI officer.

The CBI has also arrested senior-level internal auditors from PNB who had allegedly overlooked the irregularities during the audits. These audits were conducted between 2011 and 2015 at the Brady House branch. Even while they were underway, 143 fraudulent LoUs were issued from PNB to the Hong Kong based branches of Allahabad and Axis banks to release Rs 11,400 crore.

Now retired former internal chief auditor Bishnubrata Mishra was allegedly responsible for not bringing facts to the notice of the senior bank officials then. The CBI has arrested nine current and former PNB employees including Mishra.

Tags: nirav modi, punjab national bank