Mehul Choksi Arrested in Belgium: Major Win in India’s Battle Against Fugitives

New Delhi: In a major development in the ongoing battle against economic offenders, fugitive diamantaire Mehul Choksi was arrested in Belgium on April 12. This move follows a formal extradition request by Indian investigative agencies — the Central Bureau of Investigation (CBI) and Enforcement Directorate (ED) — and is seen as a significant step in India’s relentless pursuit of financial criminals.

Choksi, who has been living in Antigua since fleeing India in 2018, is accused of being a key figure in the Rs 13,500 crore Punjab National Bank (PNB) loan fraud. His arrest comes months after the apprehension of his nephew Nirav Modi, also involved in the same scam. While Modi remains in the UK, fighting his own extradition case, Choksi’s capture in Belgium underscores India’s commitment to bringing high-profile economic offenders to justice.

Choksi’s flight from India, initially under the pretext of seeking medical treatment, came after he was implicated in one of the most significant banking frauds in Indian history. The Indian authorities had long listed Choksi as a Fugitive Economic Offender (FEO), a designation that allows enforcement agencies to seize properties and assets tied to the accused, even before conviction.

Choksi is not alone on the list of notorious economic offenders under investigation by Indian authorities. Other prominent figures such as Nirav Modi, Vijay Mallya, and Lalit Modi, who are currently living abroad, also face legal scrutiny for their roles in large-scale financial scandals.

• Nirav Modi: A key player in the PNB scam, Modi is accused of orchestrating a fraud using fraudulent Letters of Undertaking (LoUs) issued by the PNB’s Brady House branch in Mumbai. While he faces extradition proceedings in the UK, Modi continues to fight against his return to India.
• Vijay Mallya: The former liquor baron and owner of the defunct Kingfisher Airlines is fighting extradition from the UK over unpaid loans of over Rs 9,000 crore. His legal battles have drawn considerable attention, but the Indian government remains committed to bringing him back.
• Lalit Modi: The founder of the Indian Premier League (IPL), Modi has been accused of financial misconduct, including allegations of negotiating high-stakes media contracts during his tenure as IPL Commissioner. He, too, seeks refuge in the UK and faces charges for his involvement in financial irregularities.
• Hajra Iqbal Memon: The widow of gangster Iqbal Mirchi, who had close ties to fugitive terrorist Dawood Ibrahim, Hajra and her family were declared FEOs in 2021 for illicit property acquisitions. The family’s real estate empire, built on black money, remains under investigation by Indian enforcement agencies.

These high-profile fugitives represent a growing trend of economic offenders fleeing India to avoid prosecution. To counter this, the Fugitive Economic Offenders Act of 2018 was introduced, allowing authorities to confiscate assets of those declared FEOs, even before a conviction. The law aims to deter fugitives from escaping the country’s legal reach, sending a strong message to financial criminals that India will pursue them relentlessly, wherever they may hide.

Choksi’s arrest marks a pivotal moment in this ongoing fight against economic crimes, but it also highlights the broader issue of fugitives evading the legal system through international borders. The Indian government’s strategy of engaging with global enforcement agencies and legal systems to ensure the return of these offenders has intensified, with the promise of greater scrutiny on individuals trying to escape accountability.