Nirav Modi-PNB Scam: 'Mastermind' Gokulnath Shetty Reveals How He Facilitated Fraudulent Transactions
Shetty was grilled by the CBI on Monday in connection to his involvement in the scandal.
New Delhi, Feb 19: Seven central agencies have been tasked to probe the financial scandal which robbed the state-run Punjab National Bank (PNB) of Rs 11,400 crores. While over a dozen PNB officials have been raided so far, Gokulnath Shetty, the former deputy manager at PNB's Brady House branch in Mumbai, is being tagged as the 'mastermind'.
Shetty, who retired from service in 2017, was named in the first FIR registered by the agency on January 29. The amount of scandal was then expected to be around Rs 280 crore. However, the findings in the subsequent days scaled the scam amount to an unprecedented Rs 11,400 crore.
Shetty was grilled by the CBI on Monday in connection to his involvement in the scandal.
Revealing the modus operandi of facilitating the fraudulent transactions, the former banker said he used to initially send SWIFT messages of lower amounts in favour of diamond czar Nirav Modi. The amounts were of moderate range, which prevented anyone from the top management to suspect any wrongdoing, Shetty reportedly told the investigators.
Later, Shetty revealed, the SWIFT messages which had entered the system were modified to facilitate bigger financial transactions for Nirav Modi-linked firms.
The agencies are, however, looking for suspects in the top management who allowed Shetty to facilitate the scandal. Investigators are also probing the reason why Shetty was deputed at the Brady House branch - which is the epicentre of the scandal - till his retirement.
The CBI on Monday also sealed the Brady House branch of PNB, barring the entry of all employees till the matter remains under probe. The branch, located close to the Dalal Street, caters to only corporate clients.
Meanwhile, in the raids conducted by ED against Nirav Modi's firms over the past four days have yielded seizures amounting to Rs 5,000 crore.
A lookout notice has been issued against Modi and his maternal uncle Mehul Choksi, the owner of Gitanjali Gems. Both, however, along with their family members left India in the first week of January. While reports earlier said they are presently in New York, it is now learnt the Modi could possibly be in Dubai.
(The above story first appeared on LatestLY on Feb 19, 2018 04:36 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).