Belgium — Mehul Choksi, the Indian businessman accused of orchestrating a ₹13,500 crore fraud at Punjab National Bank (PNB) in 2018, was detained in Belgium this past Saturday. The arrest marks a significant episode in the seven-year-long pursuit by Indian authorities aiming to bring the fugitive diamantaire back to face trial in India.
Choksi, who fled India in 2018, was apprehended by Belgian law enforcement officers as he attempted to evade capture by traveling to Switzerland. Sources indicate that the arrest was executed following an extradition request from India. Choksi’s connection to Belgium is through his wife, Preeti, a Belgian citizen, which has potentially facilitated his movements within Europe.
An Indian official familiar with the matter stated, “Choksi’s capture is a culmination of coordinated efforts across international borders. This arrest is a significant advancement in the pursuit of justice for the massive banking fraud that affected countless stakeholders.”
Mehul Choksi had previously acquired citizenship in Antigua and Barbuda, a move perceived as a strategy to evade Indian legal jurisdictions. Since fleeing India, Choksi has been embroiled in legal battles to avoid extradition, citing health issues and leveraging extensive legal resources to contest moves against him.
The Punjab National Bank scam emerged as one of India’s most prominent financial scandals when it was discovered in 2018. Choksi, along with his nephew Nirav Modi, was accused of defrauding the bank through fraudulent letters of undertaking. The scandal shook the Indian banking sector and led to widespread calls for regulatory reforms.
The extradition process may face hurdles, given Choksi’s history of contesting legal actions. Legal experts suggest that despite his detention in Belgium, the path to his extradition to India could involve lengthy judicial processes. A whistleblower associated with the case remarked, “Choksi has significant resources to fight extradition. His legal battles are far from over, and the road to justice is challenging.”
