Enough Assets Available to Settle Liabilities in Nirav Modi Case: PNB
The claims of PNB gain credence as the Enforcement Directorate has seized valuables collectively worth Rs 5,716 crore in raids against Nirav Modi so far.
New Delhi, Feb 19: With three central agencies unleashing a spree of seizures against the firms, properties and residences linked to diamond czar Nirav Modi, the Punjab National Bank (PNB) on Monday issued a late night statement, claiming that it would recover the defrauded amount of Rs 11,400 crore.
"Enough assets are available to settle liabilities in Nirav Modi case as per the law," the state-run lender was reported as saying by news agency PTI. Market trackers believe the PNB statement was aimed to reinstill shareholders' confidence, as the bank's stocks have plummeted to as low as Rs 115 per piece after the scandal came to light.
The claims of PNB gain credence as the Enforcement Directorate has seized valuables collectively worth Rs 5,716 crore in raids against Nirav Modi so far.
A total of 38 locations have been raided by the CBI, ED and Income Tax department in connection to the case.
More than a dozen PNB officials have been detained for interrogation.
Central Vigilance Commissioner (CVC) KV Chowdary has also been tasked by the government to oversee the anti-money laundering investigations.
Meanwhile, Modi, who fled India days before the scam was unearthed, said he would have settled all pending liabilities with PNB had the bank not went public.
In a letter written to the PNB management, dated Feb 15/16, the copy of which was accessed by PTI today, Modi said he was willing to settle all liabilities with the bank had they "not invited the media frenzy".
"In the anxiety to recover your dues immediately, despite my offer (on February 13, a day before the public announcement, and on 15,) your actions have destroyed my brand and the business and have now restricted your ability to recover all the dues leaving a trail of unpaid debts," he was quoted as saying.
The diamondarite further accused the PNB of making "false claims" of being owed Rs 11,400 crores. Instead, Modi in his letter claimed that the collective outstanding loan amount is not more than Rs 5,000 crores.
(The above story first appeared on LatestLY on Feb 19, 2018 11:23 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).