In a major development related to the Punjab National Bank (PNB) scam, fugitive diamantaire Nirav Modi’s brother Nehal Modi has been arrested in the United States. American governments made his arrest on 4 July, based on an extradition request sent by the Indian authorities. This request was jointly filed by the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED).
Extradition Sought on 2 Serious Charges
Nehal Modi is facing two major charges in the US that have led to extradition proceedings. The first is money laundering, which is covered under Section 3 of India’s Prevention of Money Laundering Act (PMLA), 2002. The second involves criminal conspiracy and destruction of evidence, for which action is to be taken under Sections 120-B and 201 of the Indian Penal Code (IPC).
Involvement in the PNB Scam
According to investigating agencies, Nehal Modi is wanted in the PNB scam, which is considered India’s largest banking fraud. He is accused of assisting his brother in transferring thousands of crores of black money outside India through shell firms. In addition, he allegedly attempted to destroy several key documents related to the scam.
Extradition Hearing on July 17
On July 17, 2025, Nehal Modi's extradition hearing is set to take place in a US court, where a status conference will decide the future course of the case. It is expected that he may file a bail application, but the US side has already made it clear that they will oppose any such request. The Indian government is making efforts to bring Nehal Modi back to the country as soon as possible so that his role in the PNB scam can be put on trial.
