Nirav Deepak Modi, the 48-year-old Indian billionaire jeweller wanted in connection with an alleged £1.5 billion fraud, has been arrested in London and remanded in custody as a flight risk. Modi was detained by Metropolitan Police officers in Holborn on Tuesday night and appeared at Westminster Magistrates' Court on Wednesday, where he contested an extradition request from India but was denied bail.
Modi is accused of involvement in what is described as India's largest ever swindle, targeting the state-run Punjab National Bank (PNB). Jonathan Swain, representing the Indian government, told the court that the allegations involve the issuing of fraudulent letters of undertaking totalling over one billion dollars. The charges of conspiracy to defraud and conspiracy to conceal criminal property carry maximum sentences of seven years and life imprisonment in India, respectively.
District Judge Marie Mallon cited the extensive value of the allegations and Modi's access to means as reasons for remanding him in custody, stating there is a substantial risk he would abscond if released. Modi's barrister, George Hepburn-Scott, argued that his client arrived in the UK in June 2018 before any allegations were made, has lived openly, paid council tax, and holds a National Insurance number, making him the opposite of a flight risk. He added that Modi will strongly contest the allegations, raising objections related to human rights and political motivation.
Modi and his business partner Mehul Choksi fled India after being accused of defrauding PNB out of $1.8 billion. His luxury diamond brand, Firestar Diamond, counts Hollywood stars such as Kate Winslet and Naomi Watts among its clientele. Despite an Interpol red notice and frozen bank accounts, Modi had been living in a three-bedroom flat at London's Centre Point tower, with rent estimated at £17,000 per month, and was involved in a new diamond business in the capital.
