Business Standard

Nirav Modi declared 'proclaimed absconder' by Gujarat court

IANS  |  Mumbai 

A on Thursday declared fugitive diamantaire as a "proclaimed absconder" in a Rs 52 crore customs duty evasion case filed in March and ordered him to appear in court on November 15.

A public notification issued to various Maharashtra and Gujarat newspapers, and sent to government and police departments, referred to as a proclaimed absconder under Section 82 of the Criminal Procedure Code that could make it difficult for him to secure an anticipatory bail.

In Surat, (CJM) B.H. Kapadia accepting an August 8 plea by the asked the diamantaire, who is also the prime accused in the Rs 13,500 crore fraud case, to appear before the court next Thursday.

had filed the August petition against and his firms -- Firestar Pvt Ltd, Firestar International Pvt Ltd, and Pvt Ltd -- that involved a dispute over "huge tax amount".

The diamond merchant and his firms had imported high-value rough and unpolished diamonds around 2014 and taken advantage of a government scheme allowing waiver of import duties if the raw materials were intended for export after processing in the Special Economic Zone (SEZ).

However, after cutting and polishing, the firms allegedly sold those high-value stones worth around Rs 900 crore in the domestic markets and evaded customs duties of around Rs 52 crore, as detected by Directorate of Revenue Intelligence,

Apart from this, Nirav Modi also exported low-quality diamonds to various countries like Dubai, Hong Kong, and the US, passing them off as processed high quality diamonds. Following this he was summoned by the court.

When he did not appear, an arrest warrant was issued against him on June 22.

However, all efforts by the department to execute the warrant failed as the diamond merchant was in hiding. His homes and offices were locked for long, and he had left the country, told the court.

In its affidavit on October 9, the said it had emailed copies of the arrest warrants to three IDs, and it was delivered to one of them, but was ignored by the user.

"Nirav Modi has knowledge about this warrant, yet he is absconding" trying to show that the warrant could not be executed, said CJM Kapadia, declaring the diamond merchant a "proclaimed absconder".



(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Thu, November 08 2018. 14:38 IST