STOCK MARKET BSE NSE

Punjab National Bank fraud case: ED gets key accused Gokulnath Shetty's custody till April 11

A special court in Mumbai remanded former PNB official and key accused in the alleged multi-crore fraud case Gokulnath Shetty to Enforcement Directorate's custody till April 11.

Published: 05th April 2018 09:42 PM  |   Last Updated: 05th April 2018 09:42 PM   |  A+A-

Image used for representational purpose. (File | Reuters)

By PTI

MUMBAI: A special court here today remanded former Punjab National Bank (PNB) official and key accused in the alleged multi-crore fraud case Gokulnath Shetty to Enforcement Directorate's custody till April 11.

Shetty was arrested today by the ED after the Prevention of Money Laundering Act (PMLA) court on April 3 allowed the agency's plea for his custody in connection with the case in which diamantaires Nirav Modi and his uncle Mehul Choksi are prime accused.

"He was remanded to ED's custody till April 11," an ED official said.

Shetty was earlier arrested by the CBI, probing the over Rs 13,500-crore fraud, in February.

He was later remanded in judicial custody.

While seeking Shetty's custody, special prosecutor Hiten Venegoankar today told judge MS Azmi that Shetty apparently played a key role in the execution of the illegal transactions and was "a key conspirator and actor in laundering of money".

As Modi and Choksi had left the country, "it is imperative for the ED to examine the accused in custody and confront him with the documents and statements of the other suspected persons," stated the ED application.

The agency is probing the money laundering aspect of the scam, which involves fraudulent issuance of letters of undertaking (LoUs) to firms owned by Modi and Choksi by some PNB officials.

According to the CBI, the firms owned by Modi and Choksi obtained the LoUs fraudulently in connivance with some PNB officials which were used to obtain credit from overseas banks, causing a loss of over Rs 13,500 crore to PNB.



Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp