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PNB scam: Court clears release of Nirav Modi's ₹66.3 cr assets for recovery
The court approved a request made by PNB to release the assets so they could be sold or auctioned to recover the losses caused by the fraud. The ED had initially attached the properties while investigating Modi and others in the multi-crore bank fraud.
Special Judge AV Gujarathi, who heard cases under the Prevention of Money Laundering Act (PMLA), passed the order on June 17. The judge also directed PNB to provide an undertaking confirming that the amount earned from the sale would be recovered if needed in future.
The assets consist of jewellery, coins, watches, and cash found at Nirav Modi's residence in Samudra Mahal, Worli, Mumbai, worth ₹40.83 crore. There is also a flat valued at ₹19.50 crore in Purvi Modi's name and other movable items found at the same address. The total loss reported by a consortium of banks, led by PNB, exceeds ₹8,526 crore — much higher than the value of attached properties, which total approximately ₹2,324.97 crore.
ED raises no objection to release
The ED informed the court that it had no objection to releasing the assets, provided certain conditions were met. After reviewing the submissions, the judge noted that Nirav Modi remains a fugitive and granted PNB's request to release the properties.
Nirav Modi and his uncle Mehul Choksi are the main accused in the ₹13,500-crore PNB scam. While Choksi is facing legal proceedings in Belgium, Modi has been in a UK prison since 2019.
Earlier on May 15, 2025, the UK High Court had once again denied bail to Nirav Modi, marking his tenth unsuccessful attempt since his arrest in 2019.
The Enforcement Directorate posted on X: "The UK High Court has once again refused to grant bail to Nirav Modi, the mastermind of the $1 billion fraud against PNB, while hearing his fourth bail application on Thursday, 15/05/2025."
The agency further said: "After detailed deliberations on the arguments of the defence (Nirav Modi) and counter arguments of the prosecution (Government of India), written submissions by the ED (which highlighted the money laundering aspects of laundering of proceeds through shell companies to external jurisdictions including the UK) and considering the extent of fraud (part of which has already been attached/confiscated by the ED and returned to the victim banks), the UK High Court dismissed the application and refused to grant bail to Nirav Modi."
The Central Bureau of Investigation (CBI) confirmed the decision in a press statement: "Fresh Bail Petition filed by Nirav Deepak Modi was rejected by the High Court of Justice, King's Bench Division, London. The bail arguments were strongly opposed by the Crown Prosecution Service advocate who was ably assisted by a strong CBI team consisting of investigating and law officers who travelled to London for this purpose."
The CBI added: "CBI could successfully defend the arguments which resulted in rejection of the bail. Nirav Deepak Modi has been in UK prison since 19th March 2019. It may be recalled that Neerav Modi is a fugitive economic offender who is wanted for Trial in India in a Bank fraud case of CBI for defrauding Punjab National Bank for Rs. 6498.20 crore... This is his 10th bail petition since his detention in the UK which was successfully defended by CBI through Crown Prosecution Service, London."
Extradition approved
Nirav Modi was arrested in the UK in March 2019. The UK High Court has already approved his extradition to India. The ED filed its money laundering case against him and Mehul Choksi in 2018, and multiple assets have since been seized. Modi's efforts to block extradition, including a petition to the UK Supreme Court in 2022, have all failed.
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