World
India
Mehul Choksi, one of the prime accused in the ₹13,000 crore Punjab National Bank (PNB) scam, is back in the news after reports surfaced about his alleged fraudulent acquisition of Belgian residency. Choksi, who fled India in 2018, was recently arrested in Belgium, where he had been residing since November 2023.
Choksi had earlier acquired Antiguan citizenship in 2017 and was believed to be living there until he and his wife reportedly relocated to Belgium in 2024. According to a report by the Associated Times, Choksi obtained an “F” category Belgian residency card by allegedly submitting false declarations and forged documents, including hiding his Indian and Antiguan citizenships.
The report also suggested that Choksi planned to eventually move to Switzerland, citing health issues and the need for treatment at a cancer hospital.
Forgery, Fake Spouse, and Fraud: How Choksi Got Residency
Choksi’s lawyers claimed he has been legally residing in Belgium since November 15, 2023, and that he is registered in the Belgian National Register. However, multiple red flags have emerged surrounding how he managed to get residency.
He is accused of forging documents and submitting false claims to Belgian authorities. Reports say he even misrepresented his marital status, claiming a Belgian spouse—a claim that appears to be untrue, as his wife, Priy Choksi, is Indian. “He gave fake documents to secure residency, a fake spouse as well to secure residency in Belgium,” the report alleged.
Residency under Belgium’s F-card category is only granted after meeting stringent legal requirements, including proof of stable residence and meeting conditions under Belgian immigration law. Experts believe Choksi circumvented these through fraudulent means and possibly bribes. “He misrepresented his nationality in the application process,” the report noted.
Expert Panel Warns of Legal Loopholes That Could Delay Extradition
In a panel discussion on NewsX, legal and financial experts expressed deep concern over the challenges Indian authorities face in securing Choksi’s extradition.
Senior economist Dr. Sharad Kohli didn’t mince words:
“Mr. Mehul Choksi is another kind of a terrorist, if we can call him that for the lack of a better word. You know ₹13,000 crores is no chunk of change.”
He recalled the fraudulent letters of undertaking issued by PNB back in 2017, calling the case a “game of lies” stretching across countries including India, Antigua, Belgium, and Switzerland. “I have sort of lost my faith on the extradition treaties because there are so many escape routes,” he said, pointing out that extradition could be blocked on three grounds: political motivation, health, and human rights.
‘An Open-and-Shut Case’: Former Officials Slam Systemic Failures
Former IPS officer Sanjay Sahay called the case a glaring example of a systemic regulatory failure.
“He has not duped the Indian banking system. He has basically gamed the Indian banking system and made it run in the manner he wanted to with two bankers,” Sahay said, adding that the entire operation was meticulously planned.
He pointed out that as early as January 2018, Choksi and his co-accused Nirav Modi had already fled the country. According to Sahay, there were already four to five cases registered in India before their escape, raising serious questions about the RBI’s regulatory oversight.
“This went on from 2011 to 2017… the capability of the internal staff, insider threat, and people like Nirav Modi and Choksi exploiting loopholes is the biggest challenge,” he said.
Sahay also warned that the extradition process is likely to be delayed by the same humanitarian and legal loopholes that have helped other fugitives evade justice.
Extradition Treaties Under Fire for Providing Escape Routes
Returning to the discussion, Dr. Kohli emphasized the urgent need to overhaul India’s extradition treaties.
“I have sort of lost faith… with due respect to the extradition treaty. If you make these based on human rights or health grounds, just about anything and everything can be done,” he said.
He predicted that Choksi would use all three loopholes—political motivation, medical condition, and human rights violations—to delay or block extradition. “By the time Choksi would finish his lifespan… that will be the end of the story,” Kohli warned.
The panelists also noted that Choksi had earlier succeeded in having the Interpol red corner notice against him revoked in 2023. His recent arrest in Antwerp followed a fresh extradition request, but experts worry that his legal maneuvering in European courts could delay justice further.
“There’s a huge amount of subjectivity involved in these treaties,” Sahay remarked. “Indian prisons being declared unfit, alleged political targeting, and health issues—all are often clubbed together to delay justice.”
