Bombay HC to ED: Clarify if Mehul Choksi still holds Indian citizenship

Bombay High Court asks ED to verify if Mehul Choksi still holds Indian citizenship, as conflicting claims emerge during hearing on plea to cancel NBW in PNB fraud case

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The Bombay High Court on Thursday asked the Enforcement Directorate (ED) to clarify whether fugitive diamond businessman Mehul Choksi currently holds Indian citizenship or is a citizen of another country.

 

The query arose during the hearing of a petition filed by Choksi, who is seeking the cancellation of a non-bailable warrant (NBW) issued against him by a Mumbai sessions court in 2018. Justice Shivkumar Dige, presiding over the matter, raised the question about Choksi’s nationality.

 

ED seeks time to confirm citizenship

 

Appearing on behalf of the ED, Public Prosecutor Hiten Venegaonkar informed the court that Choksi may have dual citizenship—Indian and Antiguan—but said he would need to consult the agency for confirmation. On the other hand, Choksi’s counsel, Vijay Aggarwal, appearing virtually from London, asserted that Choksi had already renounced his Indian citizenship.

 

The court directed the ED to verify and submit Choksi’s current citizenship status and scheduled the next hearing for 2 May.

 

Choksi withdraws plea to appear remotely

 

In a related development, the High Court also heard another petition filed by Choksi through his lawyers Rahul Agarwal and Jasmine Puranik. The petition sought permission for Choksi to appear before the ED and the court via video conferencing, citing medical issues that purportedly prevent him from travelling. 

   

During the hearing, Aggarwal initially requested time to revise the petition. However, Justice Dige noted that the plea had been pending since 2020 and remarked, “I don’t want to keep such an old petition pending.”

 

Aggarwal argued that Choksi’s recent arrest made it more difficult for him to appear in person, stating, “There is all the more reason that he cannot appear in person.” The judge responded, “Then how will he appear through video conferencing as well?”

 

Following the exchange, Aggarwal opted to withdraw the petition but retained the liberty to file it again if required.

 

Choksi’s role in the PNB scam

 

The non-bailable warrant against Choksi was issued after he failed to return to India to cooperate with the investigation into the Punjab National Bank (PNB) fraud case involving thousands of crores.

 

Choksi, the former chairman of Gitanjali Group and uncle of Nirav Modi, played a central role in the ₹13,500 crore PNB scam, one of India’s largest financial frauds. He, along with Modi, allegedly colluded with PNB officials to fraudulently obtain Letters of Undertaking (LoUs) from the bank’s Brady House branch in Mumbai without proper collateral or documentation.

 

These fake LoUs were used to secure overseas loans purportedly for importing pearls, but the funds were instead diverted and laundered. Choksi fled India in early 2018 before the scam was exposed and subsequently acquired citizenship in Antigua and Barbuda. 

 

He was arrested in Belgium in 2025 following an extradition request by Indian authorities, who continue to pursue his return to face charges including criminal conspiracy, money laundering, and embezzlement.

 

According to the ED, funds obtained through the fraud were routed through various offshore entities to disguise their origin, using classic money laundering techniques such as layering, placement, and integration to blend illicit funds into legitimate financial channels.

 

(With agency inputs)