ED Urges Mumbai Special Court to Declare Mehul Choksi Fugitive Economic Offender

The Enforcement Directorate has once again approached a special court in Mumbai seeking an order to declare absconding businessman Mehul Choksi a fugitive economic offender in connection with the Punjab National Bank fraud case.

Appearing for the central probe agency, Additional Solicitor General Anil Singh and ED prosecutor Kavita Patil presented arguments before the special court. This marked the fifth time since 2018 that the ED had to initiate arguments on the plea, as previous proceedings were interrupted due to the transfer of judges before an order could be passed.

The agency originally filed the application in July 2018 seeking fugitive economic offender status for both Choksi and his nephew Nirav Modi. While Modi was subsequently declared a fugitive economic offender and the confiscation of his properties commenced, the petition concerning Choksi has remained undecided for eight years.

During the hearing, the ED argued that Choksi remains out of reach of Indian authorities and that declaring him a fugitive economic offender is crucial to confiscating his assets located both in India and in foreign jurisdictions. Following the agency's arguments, the special court adjourned the hearing to allow submissions from Choksi's legal counsel.

Choksi, a diamond trader implicated in obtaining letters of undertaking through forged documents in the PNB scam, is currently lodged in a prison in Belgium. He was arrested there on April 12 last year pursuant to an extradition request issued by Indian investigating agencies.

Choksi originally left India on January 2, 2018, citing medical treatment, and did not return. The Central Bureau of Investigation registered a case against Choksi and Modi in February 2018, following which the ED initiated a money laundering probe based on the CBI's initial case.