United Bank of India on Thursday declared fugitive businessman Mehul Choksi and his company Gitanjali Gems as wilful defaulters and sought repayment of Rs 332 crore in dues, PTI reported.

The bank had sanctioned Rs 331.85 crore in credit limit to Choksi’s firm, and declared the account as a non-performing asset in March 2018.

Choksi is accused of defrauding the Punjab National Bank of more than Rs 13,000 crore along with his nephew Nirav Modi. He had fled to Antigua and Barbuda in January 2018, a few weeks before the scam came to light.

In a public notice, the United Bank said Choksi and his company defrauded over Rs 13,000 crore through the Brady House branch at the Horniman Circle area in South Mumbai between 2011 and 2017. The bank declared them as wilful defaulters from June quarter.

The notice was also issued to Choksi’s wife Priti Choksi, and the directors of Gitanjali Gems. United Bank of India said that despite several notices the company failed to repay the dues.

Oriental Bank of Commerce had earlier this year declared Choksi and Modi as wilful defaulters.

In January, Choksi had surrendered his Indian citizenship and passport to authorities in Antigua and Barbuda. This came five months after he claimed to have “lawfully applied” to become a citizen of the Caribbean nation to expand his business interests.

Also read: Indian officials cleared Mehul Choksi but later called him ‘a crook’, says Antigua and Barbuda PM


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