Big shock to Nirav Modi: US court rejects plea to drop charges

(PTI) Washington, Ta. 13

Fugitive diamond businessman Nirav Modi has been shocked by a US bankruptcy court. A US court has rejected the plea of ​​a fugitive Indian diamond businessman. Nirav Modi and his two accomplices had filed a petition in a US court seeking that the allegations of fraud leveled against them be dropped.

The trustees of the three companies had accused Nirav Modi of fraud. The charges against Nirav Modi were filed by Richard Levy in a New York court. The court appointed Richard Levy as trustee of three companies, Fire Star Diamond, Fantasy Inc. and A Jaffe. The three companies were previously owned by Nirav Modi.

Richard Levine demanded at least ૫ 12 million in compensation from Nirav Modi's lenders. Nirav Modi and his allies Mehr Bhansali and Ajay Gandhi have been asked to recover the compensation.

The order was issued last week by New York Bankruptcy Court South District Judge Sean H. Lane. This is a big shock for India's fugitive diamond businessman and his associates. Nirav Modi is lodged in a British jail and is fighting a legal battle against extradition to India. India is demanding the extradition of Nirav Modi for allegedly defrauding the Punjab National Bank of Rs 15,000 crore.

Indian-American attorney Ravi Batra said New York's Bankruptcy Court has given a clear verdict. The judgment rejected the pleas of Nirav Modi, Mehr Bhansali and Ajay Gandhi.

Regarding Richard Levine's complaint, the judge said that at first glance, the allegations against Modi seemed to be true. In a 20-page order, the judge said Nirav Modi had cheated the founder of an American electronics retail chain. Apart from this, Nirav Modi has also committed fraud with the Punjab National Bank of India.