Fugitive diamantaire remains in UK custody as court cites flight risk and witness influence concerns
New Delhi/London, May 15—The High Court in London has once again rejected a bail plea filed by fugitive businessman Nirav Modi. Modi has been imprisoned in the UK for over six years amid ongoing extradition proceedings related to the ₹13,000 crore Punjab National Bank (PNB) fraud case.The 54-year-old, accused of orchestrating the massive banking fraud alongside his uncle Mehul Choksi, had sought bail on health grounds and the prolonged duration of his incarceration. His legal team argued that his release warranted the "passage of time" and deteriorating health.
However, Justice Michael Fordham of the Royal Courts of Justice dismissed the application, ruling that Nirav Modi remains a flight risk and retains access to sufficient funds that could potentially be used to tamper with witnesses.
Bail Denied for Tenth Time
"This was his 10th bail petition since his detention in the UK, which the CBI successfully defended through the Crown Prosecution Service (CPS), London," the Central Bureau of Investigation (CBI) said in a statement issued from New Delhi.The CPS, representing the Indian authorities, strongly opposed the petition with active support from a dedicated CBI team comprising investigating and legal officers who travelled to London for the hearing.
Facing Multiple Legal Cases in India
Nirav Modi is the subject of three criminal proceedings in India:- A CBI case involving the core PNB fraud
- An Enforcement Directorate (ED) case related to money laundering
- A third case linked to alleged interference with evidence and witnesses
Pending Confidential Proceedings
Earlier this year, Nirav appeared via videolink from Thameside prison for a separate High Court hearing concerning a USD 8 million loan default by a Dubai-based firm linked to him. At the time, Justice David Bailey noted that Nirav’s legal matters could stretch into 2026, hinting at a "confidential" proceeding believed to be a possible asylum request.Details of the Fraud
According to the CBI, Nirav Modi and Mehul Choksi siphoned off over ₹13,000 crore from PNB by fraudulently securing Letters of Undertaking (LoUs) and Foreign Letters of Credit (FLCs) without proper authorization or documentation.These LoUs and FLCs were issued by officials at the Brady House branch of PNB in Mumbai without sanctioned credit limits or required entries in the bank's system, deliberately bypassing scrutiny.
Based on these fraudulent LoUs, several international banks, including SBI (Mauritius and Frankfurt), Allahabad Bank (Hong Kong), Axis Bank (Hong Kong), Bank of India (Antwerp), and Canara Bank (Mamana), extended buyer credit or discounted bills. When the accused companies defaulted, PNB had to cover the liabilities, including overdue interest, leading to significant losses.
Mehul Choksi Arrested in Belgium
Meanwhile, according to the CBI, Mehul Choksi, Nirav Modi’s uncle and co-accused in the scam, was recently apprehended in Belgium, where he had traveled for medical treatment.With Nirav Modi's extradition already approved by UK authorities, this latest bail rejection strengthens India’s position to ensure his return to face justice.