Advertisement
Crime in Hong Kong
Hong KongLaw and Crime

India wants fugitive billionaire Nirav Modi arrested in Hong Kong

Renowned diamond merchant, accused of involvement in his country’s biggest ever banking fraud, believed to be hiding in the city

Reading Time:2 minutes
Why you can trust SCMP
Nirav Modi had lauched his own eponymous jewellery brand, with more than 10 stores around the world. Photo: Felix Wong
Raquel CarvalhoandReuters

India was on Friday night seeking the arrest of Nirav Modi, the fugitive billionaire jeweller at the centre of the country’s biggest ever banking scam, who was believed to be hiding in Hong Kong.

A source confirmed that Indian authorities had submitted a request to the city’s Department of Justice for the provisional arrest of the diamond merchant, wanted over a US$2 billion (HK$15.7 billion) fraud at the state-run Punjab National Bank. 

“We have reason to believe that he is in Hong Kong,” the source said, adding that the provisional arrest would be the precursor to an extradition request.

Advertisement
Modi, who owns a chain of jewellery shops from Hong Kong to New York, and his uncle and business partner Mehul Choksi are accused of defrauding banks by raising loans from overseas branches of Indian lenders, using nearly US$2 billion of fraudulent guarantees issued by rogue Punjab National Bank staff at a Mumbai branch.

Both diamond merchants have denied wrongdoing.

Advertisement

Modi, who Forbes ranked as India’s 85th richest man, with a net worth of US$1.74 billion last year, was the founder of Firestar Diamond and a jeweller to Hollywood stars such as Naomi Watts and Kate Winslet. The company filed for bankruptcy in a New York court in February.

Advertisement
Select Voice
Choose your listening speed
Get through articles 2x faster
1.25x
250 WPM
Slow
Average
Fast
1.25x