Fugitive diamond merchant Mehul Choksi has been dealt a significant blow as the Belgian appeal court rejected his bail application. Choksi, wanted in connection with a fraud of approximately 63,000 crore rupees from Punjab National Bank (PNB), had filed a new bail plea on August 22. He also suggested house arrest as an alternative to detention. However, the court dismissed his arguments, stating that releasing him on bail would be too risky. This decision comes after the Belgian court had previously rejected his earlier bail application. The court agreed with the Central Bureau of Investigation (CBI) that Choksi could flee to another country if released, mirroring his previous actions. The CBI presented arguments to the Belgian prosecution, highlighting Choksi’s continuous attempts to evade legal processes across multiple jurisdictions to avoid arrest. Consequently, Indian agencies recommended against granting him bail. Choksi was arrested in Belgium in April 2025 based on a CBI extradition request. A detailed hearing on Choksi’s extradition case is scheduled for mid-September in a Belgian court. The CBI is assisting the Belgian prosecution in preparing a strong legal foundation for his return to India. Mehul Choksi, 66, is the owner of Gitanjali Group. He is accused of defrauding 13,000 crore rupees from PNB’s Mumbai Brady House branch in collaboration with his nephew, Nirav Modi. This alleged scam involved fraudulent letters of undertaking and collusion with bank officials, described as one of India’s largest banking scandals. India is closely monitoring Choksi’s extradition, given his long history of evading Indian authorities. His past included fleeing to Antigua and subsequent attempts to avoid extradition through various legal maneuvers. The Belgian court’s decision provides some relief to India, indicating a potential easing of the path towards his extradition.
