The Directorate of Enforcement in its report against jeweler Nirav Modi said that the owners and directors of at least five companies based in Hong Kong earned between 8,000 and 30,000 rupees a month, according to an Indian Express report.
The report adds that the companies for which these directors worked supposedly received around 8,270 million rupees for letters of commitment issued by the Punjab National Bank on behalf of the jeweler.
The ED also added that the so-called directors of five of these fictitious companies were in fact junior employees and former employees of the Modi Firestar Group.
The ED has also alleged that the goods moved between Firestar Group and these fictitious companies in Hong Kong, Dubai and India, which led to the creation of huge prominent in the books of the fictitious companies against Indian companies.
Earlier, the ED said it would move a special court in Mumbai to seek permission for the “immediate confiscation” of about 7,000 million rupees of assets from diamond jewelry designer Nirav Modi under the recently enacted fugitive economic offenders Ordinance.
The agency, empowered by the government of the Union to enact the new power in the country, will seek an official statement to categorize Nirav Modi as a “fugitive” based on his accusation (charge sheet) filed before a special court in Mumbai. last week under the Money Laundering Prevention Law (PMLA).
On May 24, the ED had filed its first indictment in the case of PNB fraud involving more than USD 2 billion involving the diamantaire Nirav Modi and his associates who claimed that more than Rs 6.4 billion of bank funds were allegedly laundered in the foreign to fictitious companies for him and others.
A total of 24 defendants have been included in the charge sheet, filed under section 45 of the PMLA, including Nirav Modi, his father, his brother Neeshal Modi, his sister Purvi Modi, his brother-in-law Mayank Mehta and the signatures of designer jewelers. -Ms Solar Exports, Star Diamonds and Diamonds R Us.