Mehul Choksi, a prominent diamond trader sought by Indian authorities in a major fraud case, has been detained in Belgium, according to his lawyer on Monday.
Choksi, who is 65 years old, is facing charges related to an alleged attempt to swindle nearly $1.8 billion from Punjab National Bank, one of India’s largest state-owned banks. This case became a significant national scandal when it came to light in 2018.
Before the bank’s accusations were made public, Choksi left India and has since been living in the Caribbean and Belgium, as reported by Indian media.
The arrest took place in Antwerp, Belgium, known for its diamond trade. Belgian police acted on a request from the local public prosecutor’s office, which sought Choksi’s detention.
Details surrounding his arrest have not been made public yet, but his lawyer, Vijay Aggarwal, stated that India’s Central Bureau of Investigation wishes to extradite him. Aggarwal mentioned his intention to seek Choksi’s immediate release, citing serious health issues as he is currently undergoing treatment for cancer. He reassured that Choksi does not pose a flight risk due to his precarious medical condition.
Aggarwal has denied any allegations of wrongdoing related to the fraud case. Since leaving India, Choksi has also resided in Dominica and Antigua, according to reports.
Choksi’s nephew, Nirav Modi, who was once a well-known jeweler in India, was arrested in London in 2019 for his involvement in the same bank fraud. Like Choksi, Modi fled India shortly before the accusations emerged. He has been battling extradition attempts by India and remains in custody in the UK.
This case has highlighted concerns in India regarding how taxpayer-funded banks may be supporting the extravagant lifestyles of the wealthy. The efforts to bring both Choksi and Modi to justice have drawn significant public interest.
