Making the first high-profile arrest after the Punjab National Bank complained about fraudulent transactions worth Rs 11,400 crore, the CBI Tuesday arrested Vipul Ambani, President (Finance) of Firestar International, the flagship company of diamantaire Nirav Modi, and two of Ambani’s colleagues.
The agency also arrested two executives of companies owned by Nirav Modi’s uncle Mehul Choksi.
Other than Ambani, a nephew of the late Dhirubhai Ambani, those arrested by the CBI have been identified as Kavita Mankikar, executive assistant and authorised signatory of Nirav Modi’s three firms which are being probed; Arjun Patil, senior executive with Firestar; Kapil Khandelwal, CFO of Choksi’s Nakshatra and Gitanjali groups; Niten Shahi, manager at Gitanjali.
CBI sources claimed that the arrested individuals were responsible for getting Letters of Undertaking issued illegally with help of some PNB officials.
The probe agency has questioned 14 people and conducted searches at a bungalow owned by Nirav Modi in Alibaug near Mumbai.
Among those being questioned are 10 PNB officials, including an executive director-level official, sources said. The bank has four executive directors.
The agency is also questioning seven executives of Nirav Modi’s companies and six executives of Choksi’s firms.