In PNB fraud case, BJP and Congress blame each other: This happened under your watch

The ruling party hit back with Union Law Minister Ravi Shankar Prasad saying “Congress should not do politics over it. Many Congress leaders are close to Nirav Modi.” He asserted all such scams would be investigated and “resolved”. He said the CBI wasted no time in taking action against Nirav Modi.

Read | Inside the Punjab National Bank fraud: What an LoU is, how case may impact the bank

“I wish to make it very clear, and this I can also convey on behalf of the government, that no one shall be spared in the banking system, whosoever has sought to derail the ordinary banking system to help Nirav Modi. This is regardless of stature and status of the official concerned,” Prasad told reporters. He said assets worth Rs 1,300 crore have been seized and passports have been revoked, along with circulating a lookout-notice for Nirav Modi. “We will do a full inquiry into the Nirav Modi case. No one shall be spared,” he said, adding “no loan given by our government has become an NPA. The NPA is the legacy of Congress… Why are we being questioned on Vijay Mallya when he wrote a letter of thanks to former Prime Minister Manmohan Singh,” Prasad said.

The Congress alleged Nirav Modi had travelled to Davos and released a group photograph in which the diamond jeweller is seen along with other Indian businessmen and the Prime Minister. “Guide to Looting India by Nirav MODI. 1. Hug PM Modi 2. Be seen with him in DAVOS. Use that clout to: A. Steal 12,000Cr B. Slip out of the country like Mallya, while the Govt looks the other way. #From1MODI2another,” Congress president Rahul Gandhi tweeted.

An Enforcement Directorate team at one of diamond jeweller Nirav Modi’s properties in Mumbai on Thursday. The ED has raided multiple sites linked to Modi. (Express Photo: Ganesh Shirsekar)

“Rahul Gandhi, in fact, should explain whether he participated in launch of the bridal jewellery exhibition of Nirav Modi in 2013 or not? Congress should explain the relations between Rahul Gandhi and Nirav Modi” BJP spokesman Anil Baluni said retorting to Congress’ barbs on Nirav Modi’s visit to Davos when Prime Minister Narendra Modi was there last month. “How did Gitanjali Gems business double during 2011-13 under UPA regime. Congress must explain this,” Baluni said. “The scam started during the UPA period. But, NDA Government will put an end to it,” Baluni asserted.

ALSO READ | Who is Nirav Modi

Prasad, in fact, sought to set the records straight saying that Nirav Modi was not part of the Prime Minister’s delegation at the World Economic Forum in Davos. “He was part of the CII delegation. There was no meeting between Nirav Modi and Prime Minister Modi in Davos,” he said, adding, “The Congress is trying to degrade Prime Minister Modi just because Nirav holds the Modi surname. This is shameful.” The Congress launched a scathing attack against the government. “Loot and escape has become the hallmark of the Modi government,” Congress chief spokesperson Randeep Surjewala said, equating Nirav Modi with liquor baron Vijay Mallya, Lalit Modi and other businessmen who had left the country after allegedly committing frauds.

He claimed that one Hari Prasad S V had complained to the Prime Minister’s Office (PMO) as early as July 26, 2016, “about the entire fraud” but “no action was taken either by the PMO or any other authority… Bank lost the money and the accused escaped.”

The Punjab National Bank (PNB) branch where fraudulent transcations were detected. (Express Photo: Ganesh Shirsekar)

But the complaint by Hari Prasad, released by the Congress, was against Nirav Modi’s uncle Mehul Choksi and there is no mention of Nirav Modi.

“Why were all the authorities, including Finance Ministry, its financial intelligence units and all other authorities sleeping on their job,” Surjewala asked.

He claimed a senior officer of the Punjab National Bank had written to Joint Director, CBI, on January 29, requesting the CBI for a lookout notice against Nirav Modi so that he does not leave the country. “Despite all this, how was Nirav Modi permitted to escape the clutches of law and leave the country,” he asked.

Calling Nirav Modi “Chhota Modi two” and Lalit Modi “Chhota Modi one”, Surjewala asked whether the billionaire jewellery designer had a tip-off that led him to leave the country. Prasad took strong exception to the usage of the word “Chhota Modi” saying it was unacceptable. “BJP takes strong offence to the language used. It is derogatory,” he said.

CPM general secretary Sitaram Yechury alleged “there is a pattern in how people who have defrauded banks in India, are allowed to escape by the Modi government”. Meanwhile, Hari Prasad SV said his complaint was against Mehul Choksi. “I never had any business dealings with Nirav Modi. I had a business dealing with Choksi of the Geetanjali group. He had cheated me to the extent of Rs 13 crore. That is why I had filed an FIR against him. And when no action was taken by any organisation, I filed a complaint letter to the PMO asking them to investigate his fraudulent activities,” he said.

“I am in Bangalore. My business dealings were in Bangalore only with the Geetanjali group. I am an NRI returnee. I started business with the group after seeing their huge advertisement campaigns, inviting investors with lot of guaranteed returns. Finally, after investing money with them, we came to know that the whole thing is a big fraud by this guy. I think many many people were cheated by this guy. I am one of the victims of this fraud,” Hari Prasad said.

House panel seeks FinMin reply

New Delhi: The Parliamentary Standing Committee on Finance here on Thursday made queries to Finance Ministry officials about the Nirav Modi scam and asked them to submit to it a report on the matter. The committee had met to examine the Demands for Grants. Headed by former minister and senior Congress leader Veerappa Moily, the panel has former Prime Minister Manmohan Singh among its members. Sources said that members sought to know from Financial Services Secretary Rajiv Kumar and other senior officers how could the taxpayers’ money be used for recapitalising the bank which was not well managed. ENS