PNB fraud case: 12 luxury cars of fugitive businessmen Nirav Modi, Mehul Choksi auctioned at Rs 3.29 cr

New Delhi: A dozen luxury cars of Punjab National Bank (PNB) scam accused businessmen Nirav Modi and Mehul Choksi have been auctioned, fetching the government exchequer Rs 3.29 crore, the Enforcement Directorate (ED) said on Friday.

The vehicles were attached by the agency under the Prevention of Money Laundering Act (PMLA) in the past.

As per PMLA Court’s order 12 vehicles (10 vehicles of Nirav Modi Group and 2 vehicles of Mehul choksi Group) were successfully bidded for ₹ 3.29 Crore (approx.) in e-auction conducted through MSTC.

— ED (@dir_ed) April 26, 2019

The ED had in March obtained the permission of a special PMLA court in Mumbai for auctioning 12 cars of the Modi-Choksi duo as part of its money laundering probe in the Rs 13,500-crore alleged bank loan fraud.

The e-auction was carried out by Metal Scrap Trade Corporation (MSTC) Ltd, it said in a statement.

“There are 12 vehicles (10 belonging to Nirav Modi group and 2 belonging to Mehul Choksi group) put on e-auction through MSTC platform on 25 April. Out of these 12 vehicles, all vehicles (10 of Nirav Modi group and 2 of Mehul Choksi group) were successfully bid for a total amount of Rs 3,28,94,293,” it said.

The Income-Tax Department had last month auctioned several art works that were owned by absconding diamond merchant Nirav Modi for Rs 59.37 crore.

The ED and the CBI are investigating Modi, his uncle Choksi and others for alleged money laundering and corruption to perpetrate the alleged scam in the Brady House branch of the PNB in Mumbai that was unearthed last year.

While Nirav Modi has been arrested in London recently and India is seeking his extradition, Choksi is said to be in the Caribbean nation of Antigua and a similar legal action against him is on too.

A UK court on Friday further remanded till 24 May Modi who is undergoing extradition proceedings in Britain in the PNB fraud and money laundering case.

The 48-year-old, who has been behind bars at Wandsworth prison in south-west London since his arrest last month, appeared before Westminster Magistrates’ Court Chief Magistrate Emma Arbuthnot via videolink from the jail.