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After years of dodging Indian authorities, Mehul Choksi—one of the key names in India’s biggest banking scam—has finally been arrested. He was picked up by Belgian authorities in Antwerp, bringing a new twist to a case that’s spanned continents, stirred global headlines, and left a ₹13,000-crore hole in one of India’s largest banks.
Who is Mehul Choksi?
Mehul Choksi isn’t just any businessman—he was once at the top of India’s diamond industry. He owned the Gitanjali Group, a jewelry brand that operated across India and even abroad. If you walked through a mall in the 2000s, you probably saw one of his stores.
Born in 1959 in Mumbai and educated in Gujarat, Choksi seemed like your typical rags-to-riches story. He lived a comfortable life with his wife Preeti and their three kids—a son and two daughters. But behind all that sparkle was a storm brewing.
The ₹13,000-Crore Scam That Rocked India
The trouble began in 2018 when the Punjab National Bank (PNB), one of India’s oldest lenders, revealed it had been cheated out of nearly ₹13,500 crore (around $2 billion at the time). Choksi and his nephew Nirav Modi—another high-profile diamond tycoon—were at the center of it.
They allegedly used fake Letters of Undertaking (LoUs)—basically forged bank guarantees—to secure foreign loans from other Indian banks. These LoUs were never properly recorded in PNB’s systems, making it easy to keep the scam hidden for years.
When the fraud finally came to light, the damage had already been done—and both men had already fled the country.
Choksi’s Great Escape: From India to Antigua
Mehul Choksi didn’t wait around for the police to come knocking. He left India in early 2018, just days before the scam became public. But this wasn’t some last-minute escape—he had already planned his exit. In 2017, he quietly became a citizen of Antigua and Barbuda under their Citizenship by Investment program.
Why Antigua? It’s a small Caribbean island nation, and more importantly, it didn’t have an extradition treaty with India at the time. It was the perfect hideaway—until things started to unravel.
The Dramatic 2021 Twist in Dominica
In May 2021, things took a strange turn. Choksi suddenly vanished from Antigua—and then resurfaced in Dominica, another small island in the Caribbean. But the story wasn’t simple.
Choksi claimed he was kidnapped by Indian agents, beaten up, and taken by boat to Dominica. He said it was a failed attempt to deport him back to India illegally. The Indian government denied the allegations, but the Dominica high court took his claims seriously.
Instead of sending him back to India, Dominica dropped the illegal entry case and returned him to Antigua on July 15, 2021.
More Fraud Charges Keep Piling Up
The PNB scam wasn’t the end of Choksi’s legal troubles. In 2022, the Central Bureau of Investigation (CBI) filed three more cases against him, accusing him of cheating several other banks—including ICICI Bank and Punjab National Bank again—out of ₹6,746 crore.
His nephew Nirav Modi, meanwhile, remains locked up in London. He’s been fighting extradition to India since 2019 and has repeatedly been denied bail by UK courts.
Life in Hiding: Cancer Claims and European Moves
After the Dominica fiasco, Choksi quietly relocated to Belgium—specifically, to Antwerp, a global diamond hub where he had business ties. His lawyer, Vijay Aggarwal, told a Mumbai court earlier this year that Choksi had traveled to Belgium for cancer treatment.
He was living there with his wife, and reportedly considering moving to Switzerland for better treatment. Authorities also believe he may have used fake documents to get Belgian residency.
But Indian agencies weren’t giving up. After two months of tracking and coordination with Belgian authorities, Choksi was finally arrested over the weekend in Antwerp.
What’s Next: Extradition Plans and Legal Hurdles
Now that Choksi is in custody, Indian officials are pushing for his extradition. But it won’t be simple. His legal team is expected to fight back, likely citing his health problems in a bid to delay or block his return to India.
One official confirmed: “Indian investigative agencies were in touch with Belgian agencies for two months resulting in his arrest.”
They also added, “Preparations are underway to extradite him to India, however, his lawyer will try to get him bail by citing his health issues.”
Choksi’s Assets and Fugitive Tag
Back in India, authorities haven’t been sitting idle. The Enforcement Directorate (ED) and CBI have attached several of Choksi’s properties and bank accounts. Meanwhile, a special PMLA court in Mumbai has been hearing a plea to declare Choksi a Fugitive Economic Offender (FEO)—a legal tag that allows the government to seize assets of people who flee after committing large-scale financial fraud.
Once he’s declared an FEO, the government can move faster to confiscate his properties in India and abroad.
Why This Case Still Matters
The Mehul Choksi-Nirav Modi scam wasn’t just another fraud—it exposed deep holes in India’s banking system. It also showed how high-profile businessmen with political connections can slip away just in time, only to wage long legal battles from abroad.
But with Choksi’s arrest in Belgium, Indian agencies believe they may finally have a shot at bringing one of the biggest scamsters back home.
Still, as the past few years have shown, nothing in this case is straightforward—and Choksi may have a few more tricks left before he lands on Indian soil.
