New Delhi, Feb 20 (UNI) Celebrity billionaire jeweller Nirav Modi, one of the prime accused in the Rs 11,400-crore Punjab National Bank scam, on Tuesday refuted allegations levelled against him by the bank, even as the Enforcement Directorate is investigating over 100 "shell companies" suspected to be involved in it.
Breaking his silence over the issue, Finance Minister Arun Jaitley blamed the PNB management. "When authority is given to the management then they are expected to utilise authority effectively and in the right manner and therefore a question for management is if they were found lacking, on the face of it seems they were," the Finance Minister said in his first remarks on the bank fraud.
The Finance Minister also questioned what the auditors were doing. "If both internal and external auditors have looked other way and failed to detect then I think CA professionals must introspect," he said.
The Supreme Court, meanwhile, set February 23 to hear a Public Interest Litigation filed by lawyer Vineet Dhanda, demanding deportation of Modi.
Modi denies allegations
“There is nothing, there is nothing in it,” Vijay Aggarwal, a lawyer representing Modi, said referring to the police complaint filed by the PNB stating that companies linked to Modi and one of his relatives received credit worth nearly $1.8 billion between 2011 and 2017 using false guarantees supplied by two bank officials.
Speaking over the telephone, Aggarwal declined to comment where Modi was. Indian officials are on the lookout for Modi and his family, who police say left India in January prior to the case being filed.
“Everything is documented,” Aggarwal said of Modi’s dealings with PNB, adding that the state-owned bank had regularly levied fees on its dealings with the jeweller’s firms.
Asked about his legal strategy, Aggarwal said, “Until there is a charge sheet, there is no strategy. When there is a charge sheet, there will be a strategy.”
Apex Court to hear on Friday PIL seeking deportation of Modi
The Supreme Court would hear the PIL filed by lawyer Dhanda, seeking deportation of Modi, on February 23.
The PIL sought Modi's deportation within two months. "We would hear on February 23, Friday, the PIL seeking deportation of the accused, " the top court said.
Dhanda's lawyer mentioned the matter before the apex court's three-judge bench, headed by Chief Justice of India (CJI) Dipak Misra and also comprising Justices AM Khanwilkar and DY Chandrachud, seeking deportation of Nirav Modi within two months.
ED probing 100 shell cos for links to bank fraud case
The ED is investigating more than 100 "shell companies" that are suspected to be involved in the Punjab National Bank's near $1.8 billion fraud, a government source said.
The companies were allegedly used by Modi and Gitanjali Gems' Mehul Choksi to route funds, a source at Enforcement Directorate told Reuters.
ED raids Gitanjali Gems store in Jabalpur
In Jabalpur, the ED conducted raids at a store of diamond merchant Mehul Choksi-owned Gitanjali Gems last night.
A team of officials, including women officials, arrived at the showroom in four vehicles. An ED team from Indore was also involved in the raid. The raid continued whole night. However, there is no official word over the kind of irregularities that took place.
Siddaramaiah demands PM Modi's resignation
Karnataka Chief Minister Siddaramaiah demanded resignation of Prime Minister Narendra Modi over the scam.
Speaking to reporters at Vidhana Soudha before attending the ongoing Budget session here, he said Nirav Modi who had looted the nation escaped right 'under the nose' of Mr Modi and the Prime Minister should own up the responsibility and resign.
'Who let Nirav Modi to escape, people of the nation want to know. The Union Government should take the direct blame.
What was Mr Modi doing until Nirav escaped from the country. He is unfit to lead the country and should immediately resign as Prime Minister,' he demanded.
IndusInd Bank says no direct credits exposure to Nirav Modi
A report from Mumbai said private sector lender, IndusInd Bank said that it has no direct credit exposures to Nirav Modi nor any indirect credit exposures basis the LOUs issued by PNB.
As regards Gitanjali Gems, the Bank has a small, two digit exposure, not linked to any LOUs, the company said in filing with BSE.
As mentioned by The Gem & Jewellery Export Promotion Council, India (GPEC) in their release, there are stringent norms for Bank Finance to the Gem & iewellery Trade stipulated by Reserve Bank of India and the Government of India, the present incident has taken place due to non-adherence of procedures and norms laid down and this stray incident is not expected to have any contagion effect on the overall Gems and Jewellery Business filing added.
Rupee ends at 64.78, a 2-month-low
The Rupee tumbled down by 57 paise at 64.78, a two-month-low on Tuesday versus the US Dollar on increased dollar demand from bank and importers, dealers at Forex Market said in Mumbai.
The domestic unit slid by 29 paise to 64.50 in opening trade,. Till the end of the session it further lost ground by 57 paise to 64.78 as compared to its last close.
A major oscillation was seen day high and low at 64.86 and 64.40 respectively, dealer said.
Firm dollar against overseas currencies and negtive equity market also dragged the indian currency further, they added.
IT notice to Anita Singhvi, wife of senior Congress leader Abhishek Manu Singhvi
The Income Tax Department issued a notice to Anita Singhvi, the wife of senior Congress leader Abhishek Manu Singhvi, seeking explanation about certain jewellery purchases, amounting to Rs 6 crore, allegedly from a showroom owned by Modi, sources said.
Singhvi, meanwhile, refuted the allegations made against his family and described the action as "harassment" being meted out to him as he belonged to an opposition political party.
UNI Team SB2011