Fugitive diamond trader Mehul Choksi, who is wanted in India for his alleged role in the ₹12,636 crore Punjab National Bank (PNB) loan fraud case, has been arrested by authorities in Belgium. His lawyer, Vijay Aggarwal, confirmed the arrest on Monday, stating that Choksi was taken into custody in Antwerp just as he was preparing to leave for Switzerland under the pretext of receiving medical treatment for cancer.
Choksi, along with his nephew Nirav Modi, is accused of orchestrating one of India’s biggest banking scams, involving fraudulent letters of undertaking issued by the PNB to facilitate overseas credit. Others named in the case include Nirav Modi's wife, Ami Modi, and his brother, Neeshal Modi. Choksi fled India in 2018 and subsequently obtained citizenship in Antigua through the country’s citizenship-by-investment program.
Despite holding Antiguan citizenship, Choksi managed to secure an F-type residency card from Belgium in November 2023, using documents associated with his wife, Preeti Choksi, a Belgian national. Indian enforcement officials allege that he acquired the residency permit using forged documents and by falsely citing humanitarian grounds, claiming he needed urgent medical treatment in Europe. The Enforcement Directorate (ED) believes this was part of a broader plan to shield himself from extradition by exploiting the relative legal protections of European residency.
Sources further revealed that Choksi had not renounced either his Indian or Antiguan citizenship at the time of applying for Belgian residency. His next move was an application for the F+ residency card, which would grant him greater legal protection from extradition and a more permanent status in Belgium. Upon learning of this attempt, Indian authorities swiftly reached out to Belgian officials to request that his status upgrade be halted — a request that was accepted, effectively freezing his immigration status.
Before he could complete his relocation to Switzerland, where he had applied for admission at Hirslanden Klinik Aarau — a reputed cancer treatment center — Belgian authorities arrested him on the basis of two non-bailable warrants issued by a Mumbai court, one in 2018 and another in 2021. These warrants were crucial in allowing Indian authorities to push for his provisional detention.
Currently lodged in a Belgian jail, Choksi’s immediate legal team is preparing to file an appeal against his detention. His lawyer stated that the bail plea would center around Choksi's deteriorating health and his need for cancer treatment. However, sources have confirmed that a bail hearing will not take place for at least a week, during which time Choksi will remain behind bars.
The arrest marks a significant step in the Indian government’s ongoing efforts to bring high-profile economic offenders to justice. Choksi’s detention in Belgium — a country with a complex extradition framework — will likely lead to a drawn-out legal battle, with the Indian government expected to file a formal extradition request in the coming days. Meanwhile, Belgian authorities are expected to scrutinize the legitimacy of Choksi’s residency card and the veracity of the documents he submitted to acquire it.
Choksi's case joins a growing list of Indian fugitives abroad facing legal action, including Nirav Modi, who is currently jailed in the UK fighting extradition. The coordinated action by multiple agencies suggests a renewed push by Indian authorities to recover the billions lost in the PNB scam and hold those responsible accountable on international soil.
