A London court has ordered diamond trader Nirav Modi to repay Rs 100 crore to Bank of India, covering outstanding dues and interest in a loan recovery case.
Nirav Modi, originally from Gujarat, ran an international diamond jewellery business headquartered in Mumbai. He is accused of taking loans worth about Rs 13,000 crore from Punjab National Bank and later fleeing to the UK without repaying them.
With the help of Interpol, he was arrested in London and is currently lodged in a UK prison. Reports said the process to extradite him is in its final stages, after which he is expected to face investigations by the CBI and the Enforcement Directorate in India.
The latest order relates to Firestar Diamond FZE, a Dubai-based company under the Firestar group. Bank of India had extended loans to the firm in 2012, for which Nirav Modi had provided a personal guarantee.
After the company failed to repay, the bank attempted to recover Rs 40 crore in dues, which later rose to Rs 100 crore with interest. The bank moved the London court, which has now directed Nirav Modi to pay the full amount to Bank of India.
