London, June 24: Diamond merchant Nirav Modi, who fled India after committing a multi-crore bank scam, has received a big shock from a London court.
The bank has ruled in favor of the bank in a debt recovery case filed by Bank of India, and the court has issued a strict order that Nirav Modi should repay the bank exactly $ 10.7 million (i.e. more than Rs 100 crore).
A cunning man caught by his own e-mail
In this case, Nirav Modi has fallen into a legal trap due to an old e-mail written by himself. In the court, Nirav Modi had argued that the bank did not give him any proper notice or information before recovering the loan, so he was not allowed to use my personal guarantee in law.
But Justice. Simon Tinkler exposed his lies by displaying an email written by Nirav Modi himself to the bank on February 17, 2018. In that email, Nirav Modi said, “My entire business is in serious trouble after the PNB scam.
Due to media pressure and attacks by investigative agencies, my Firestar companies have stopped operating. Therefore, I am unable to repay the bank loan. The court said that his email proved that he was fully aware of the situation.
In July 2012, Bank of India had given a huge loan to Nirav Modi’s Dubai-based company, Firestar Group. In August 2013, Nirav Modi had signed a personal guarantee document promising to repay the loan from his personal assets if the company defaulted. When the scam came to light in 2018, the bank asked for its money back.
The judges have completely rejected three strategies that Nirav Modi, who is currently in a London jail, used to evade the case to avoid extradition to India. He said that I was not in India, so the demand notices sent in April 2018 and October 2025 did not reach me. The bank directly delivered the notices to London’s ‘Thameside Jail’, where Nirav Modi is, so this excuse does not work.
After the PNB scam, the value of Nirav Modi’s entire company has become zero. Therefore, the court said that it was 100% right for the bank to demand repayment of the loan to secure its money.
Nirav Modi is directly liable to repay the bank the principal amount of $ 4.1 million (about Rs 38.9 crore) and all the interest on it (a total of more than Rs 100 crore) immediately, under his personal guarantee, Justice Simon Tinkler announced the final order.