Legal setbacks for Modi, Choksi; experts question funding sources 

Fugitive businessman Nirav Modi and Mehul Choksi are once again facing setbacks in courts overseas as legal proceedings continue to go against them. In the latest development, the High Court of Justice has rejected Modi’s petition to reopen proceedings against his extradition order, according to the Central Bureau of Investigation (CBI).

The recent ruling is another setback in his long running fight to avoid being sent back to India to face charges linked to the multibillion-dollar Punjab National Bank fraud case carried out by both Nirav Modi and Mehul Choksi.

Over the years, both Modi and Choksi have filed multiple appeals and legal challenges in different countries. However, many of these attempts have failed, reducing their chances of delaying or avoiding trial in India.

Funding Under Question

A major question is now being raised by experts about how both individuals are continuing to fight such expensive legal battles. Authorities in India have already seized and attached several assets linked to them in connection with the Punjab National Bank fraud case. Despite this, both have hired top legal teams in the United Kingdom, where legal costs are very high.

This has again led to growing concern among legal experts and they are questioning, “If their assets are seized, where is the money coming from?”

Talking about the new development, an official release from the CBI noted that Nirav Modi’s petition to reopen proceedings against his extradition order by United Kingdom courts was rejected today by London’s High Court of Justice. The statement read that the matter was strongly argued by the Crown Prodecution Service advocate and was assisted by a dedicated CBI team including investigators who travelled to London for the hearing.

The court further observed that the re-open petition as well as the circumstances surrounding it are not exceptional so as to make it appropriate in order to re-open it. Notably, the UK High Court had cleared Nirav Modi’s extradition to India last year. The decision, which was issued on November 9, 2022, upheld a last ruling by Westminster Magistrates’ Court and dismissed Nirav Modi’s appeal to escalate the case to the UK Supreme Court.

Nirav Modi’s plea against extradition will also come up before the Westminster Court in April, which will decide his fate on being sent back to India. He can either approach the European Court of Human Rights to appeal against extradition or wait for the outcome of the Westminster court.

Despite these limited legal options, Modi continues to pursue every possible route to delay extradition. Similarly, Mehul Choksi has also been involved in multiple legal proceedings in different jurisdictions with several of his attempts facing setbacks.

Call for Joint Investigation

With questions now growing around the sources of funds, experts are now suggesting that a joint investigation should be carried out to trace how these legal battles are being financed. Agencies like the Central Bureau of Investigation (CBI), National Investigation Agency (NIA) and the Financial Intelligence Unit (FIU) are being called upon to conduct a joint investigation and find their source of funds.

Experts believe that if assets have already been seized in India, then identifying the current financial sources becomes important not just for this case but also for strengthening financial enforcement systems.