The Serious Fraud Investigation Office (SFIO) has filed a prosecution complaint against fugitive businessman Mehul Choksi in one of India’s biggest bank fraud cases, involving losses of more than ₹13,000 crore. The complaint also names his wife Priti Choksi, former ICICI Bank MD and CEO Chanda Kochhar, former ICICI Bank executive director NS Kannan, several former Punjab National Bank (PNB) officers, and other key individuals.
According to people familiar with the matter, the complaint was filed in a Mumbai court last month and details how Choksi and his group of companies allegedly cheated multiple banks over several years. SFIO has laid out the full chain of financial irregularities and explained how different accused persons allegedly helped Choksi build his business empire before he fled India in 2017.
SFIO, India’s top agency for probing corporate fraud, has named former PNB officials Gokulnath Shetty, Bechu Tiwari, Yashwant Joshi, and Prafful Sawant, along with senior executives linked to Choksi’s companies. The investigation covers well-known firms such as Gitanjali Gems, Asmi Jewellery, Gili India, Nakshatra Brands, and Bezel Jewellery (earlier D’damas), as well as several Hong Kong–based entities.
The agency has accused these companies of diverting bank funds through shell firms, inflating business activity, and misusing credit facilities with the help of bank officials, including senior management. SFIO officials say all these findings have been clearly recorded in the prosecution complaint.
Choksi’s lawyer Vijay Aggarwal argued that SFIO’s filing is not a charge sheet and said the court cannot summon his clients without giving them a proper hearing. He maintained that his clients should not yet be treated as accused and said the legal team would strongly defend them.
Mehul Choksi, 65, was arrested in Belgium in April last year following India’s extradition request and is currently lodged in a prison in Antwerp. Extradition proceedings are at an advanced stage, and his attempts to get relief from Belgian courts have so far failed.
Indian agencies allege that Choksi cheated banks between 2010 and 2022, including:
- ₹6,097 crore fraud on PNB
- ₹5,564 crore fraud involving 28 banks led by ICICI Bank
- ₹807 crore fraud on a PNB-led bank consortium by Nakshatra Brands
- ₹375 crore fraud on PNB by Gili India Ltd
SFIO has been probing Choksi and his companies since February 2018, shortly after the PNB scam came to light. By then, both Choksi and his nephew Nirav Modi had already left India with their families.
Officials said the SFIO charges may also strengthen India’s case in Belgian courts, as the extradition request includes serious offences like criminal conspiracy, cheating, breach of trust, bribery, and falsification of accounts. These offences are recognised as crimes in Belgium under the dual criminality clause, along with international conventions against corruption and organised crime.
The Mumbai court has scheduled the next hearing on April 9, which could be a crucial step in one of the country’s most closely watched financial fraud cases.
