Nehal Modi detained in US amid PNB fraud investigation

New Delhi [India], July 5 (ANI) Nehal Modi, the brother of fugitive diamond merchant Nirav Modi, has been arrested in the United States on the basis of an extradition request made by the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED), officials confirmed on Friday.
The arrest marks a significant development in India's efforts to bring to justice individuals involved in the Rs 13,000 crore Punjab National Bank (PNB) fraud case. The United States Department of Justice has informed Indian authorities that Nehal Modi, brother of fugitive economic offender Nirav Modi, was arrested by U.S. authorities on July 4, 2025, the officials privy to the development told ANI.

"The arrest has been made pursuant to an extradition request jointly submitted by the Enforcement Directorate (ED) and the Central Bureau of Investigation (CBI)," said the officials. As per the complaint filed by the U.S. prosecution, extradition proceedings are being pursued on two counts: one count of money laundering under Section 3 of the Prevention of Money Laundering Act (PMLA), 2002, and one count of criminal conspiracy under Sections 120-B and 201 of the Indian Penal Code.

Nehal Modi is wanted in India in connection with the multi-billion-dollar Punjab National Bank (PNB) fraud case, one of the largest banking scams in the country's history. Investigations by the ED and CBI have revealed that Nehal Modi played a key role in laundering proceeds of crime on behalf of Nirav Modi, who is also facing extradition from the UK.

He is alleged to have assisted in concealing and transferring large sums of illicit funds through a web of shell companies and overseas transactions, in violation of Indian laws. The next date of hearing in the extradition proceedings is scheduled for July 17, 2025, when a status conference will be held. Officials further said that Nehal Modi may apply for bail during this hearing, which the U.S. prosecution has stated it will oppose. (ANI)