LI NETWORK
Diamond Businessman
NAME: Nirav Deepak Modi
BIRTH: 27 February 1971
PLACE OF BIRTH: Mumbai
SIBLINGS: Neeshal Modi and Purvi Modi
SPOUSE: Ami Modi
EDUCATION: College- The Wharton School, University of Pennsylvania, US (Drop-out)
OCCUPATION: Diamond Business- Firestar Diamond International, Gitanjali Group, A. Jaffe Inc.
PARTNERS: Mehul Choksi (Uncle), Neeshal Modi (Brother), Parab Subhash Shankar (Manager)
CAREER: i. Founded Firestar Diamond International in 1999. ii. Acquired Frederick Goldman in 2005, and Sandberg & Sikorski and A.Jaffe in 2007 in the USA.
iii. Formed a new brand by name of Nirav Modi. iv. Established his brand stores in 16 different countries.
NET WORTH: >$400 million
ACHIEVEMENTS:
i. 1st Indian jeweller to be featured on the covers of Christie’s and Sotheby’s Catalogues (2010)
ii. Featured on the Forbes list of Indian billionaires (2013)
PATENTS: Jasmine cut diamond, United States Design Patent USD763118S1, JEWELLRY DESIGN, United States Design Patent US D738,777 S.
CRIMINAL CHARGES: Criminal Conspiracy, Criminal Breach of Trust by Public Servant, or by Banker Merchant or Agent, Cheating and Dishonestly inducing delivery of property, Corruption, Money laundering, Embezzlement, and Misrepresentation.
WANTED BY: INTERPOL, The Judicial Authorities of India, Los Angeles Police Department, New York Police Department, Federal Bureau of Investigations, Royal Canadian Mounted Police.
BOOK: ‘Flawed: The Rise and Fall of India’s Diamond Mogul Nirav Modi’ featuring details of his life and career, written by Pavan C. Lall, was published on 31 August, 2019.
Nirav Modi is a fugitive Indian businessman who moved from Belgium to India to establish a diamond business of his own. He started from the scratch, and made his way to the top, establishing his brand name not only in India, but foreign countries also. But his life has been a constant thriller, starting from international arrests, rejected bail pleas and extradition maneuvers across three continents. Following are the storms riveting his life:
CONTROVERSIES
I. PUNJAB NATIONAL BANK FRAUD In January 2018, the Central Bureau of Investigation launched an investigation against Nirav Modi and his business partners on the complaint of the Punjab National Bank, stating that he had defrauded the PNB of Rs. 11400 Crores. The complaint stated that Modi, alongwith a few employees of the PNB had conspired and issued a Letter of Undertaking (LoU) i.e., a bank guarantee, without entering the transactions in bank’s accounts or in SWIFT (Society for Worldwide Interbank Financial Telecommunication), but the amount was transferred to Nirav Modi’s personal bank account instead of being used for the purchases mentioned. And these activities went on undetected in the bank for years. Later on, alongwith PNB, several other banks also filed complaint and the total amount came out to be Rs. 14,400 Crores. On 1 January, 2018, Modi had already fled from India, and it turned out that his family had already fled the country as well. His passport was suspended in February, 2018. On inquiry, the Enforcement Directorate attached his properties for payment of his debts in March 2018, his firm A. Jaffe was auctioned and all his brand stores have been closed ever since.
II. UNION BANK OF INDIA The Union Bank of India sued Nirav Modi in a Hong Kong Court claiming that a writ petition had been filed in the Court on 26 September, 2018 stating that Modi had guaranteed two loans granted by the bank to Firestone Trading Private on 21 October 2011 and Firestar Diamond on 15 November, 2011 respectively. The bank further demanded repayment of the loan plus interest since there was default in repayment by both the firms.
III. EXTRADITION In April 2018, Modi was alleged to be safe in Hong Kong, but later in June, it was found out that he had seeked asylum in the UK, denying all charges against him, after which India requested his extradition. He was arrested on warrant after Enforcement Directorate’s request in the money laundering case against him in March, 2019 in London. After his arrest, he was produced before the Westminister Court, which denied him bail. Subsequently, his second request for bail was also denied. Recently, his judicial custody was extended till August 6, 2020 by the UK Court and again till August 27, 2020.
v CURRENT STATUS Nirav Modi is currently lodged in Her Majesty’s Prison (HMP) Wandsworth after being denied bail twice. His extradition trial is under process and hearing started on 7 September 2020 in the UK Court. He had been booked under the Prevention of Money Laundering Act, 2002 by India in the PNB fraud case and has been on the run ever since. All his assets and properties have been attached or sold out to recover the loss of various banks and all his brands have been closed world-wide. It is currently in the news that Retired Justice Markandey Katju shall be deposing in the UK Court on September 11, 2020 against Nirav Modi’s extradition to ensure his fair trial in the UK Court.
