PNB hits back at Nirav Modi: Filed complaint as your LoUs were illegal

The bank said at no stage were such facilities extended by Punjab National Bank to the three partner firms

Punjab National Bank on Thursday responded to the letter sent by Nirav Modi, one of the prime accused in the Rs 114-billion scam at the bank, saying the letters of undertaking issued to his companies were illegal and in violation of the Foreign Exchange Management Act. And, this was what prompted the public-sector bank to go public about the fraud, terming the whole loan taking exercise as “money laundering”, PNB clarified.

“You were getting LoUs issued illegally and in an unauthorised way through a few bank officials. At no stage such facilities were extended by our bank to the three