Fugitive Businessman Mehul Choksi Arrested in Belgium

Fugitive Businessman Mehul Choksi Arrested in Belgium: The Story So Far

Mehul Choksi, a fugitive Indian businessman accused of a massive bank fraud, was arrested in Belgium on April 12, 2025.

The 65-year-old diamond merchant, once a prominent name in India’s jewelry industry, has been on the run since 2018. His arrest marks a significant step in India’s efforts to bring him to justice.

Who is Mehul Choksi, and How is He Now?

Mehul Choksi was the owner of Gitanjali Gems, a well-known jewelry company with thousands of stores across India. Born in Mumbai in 1959, he built a business empire dealing in diamonds and jewelry.

Currently, Choksi is in custody in Belgium, reportedly detained while receiving medical treatment for suspected blood cancer. His health condition is a key point his lawyers are raising to fight his extradition to India.

Despite being detained, he’s preparing for a legal battle, and sources say he remains defiant, claiming the case against him is unfair.

What Has He Done?

Choksi is accused of masterminding one of India’s biggest banking scams, defrauding Punjab National Bank (PNB) of over ₹13,500 crore (about $1.8 billion).

Between 2014 and 2017, he allegedly worked with his nephew, Nirav Modi, and corrupt bank officials to obtain fake financial documents called Letters of Undertaking (LoUs).

These documents allowed his companies to borrow huge sums from foreign banks without proper approvals, causing massive losses to PNB.

When the scam came to light in 2018, Choksi fled India just days before authorities could act. He’s also accused of cheating other banks, like ICICI, and faces charges of fraud, money laundering, and criminal conspiracy.

How Was He Arrested?

Choksi’s journey as a fugitive has been full of twists. After leaving India in January 2018, he settled in Antigua and Barbuda, where he had secured citizenship through an investment program in 2017.

In 2021, he was briefly arrested in Dominica for illegal entry, but he claimed he was kidnapped from Antigua—a story that didn’t hold up in court, and he was sent back to Antigua.

By 2023, he moved to Belgium’s Antwerp, living with his wife, Preeti, who is a Belgian citizen. He obtained a residency card there, reportedly to seek cancer treatment.

Indian agencies, including the Central Bureau of Investigation (CBI) and Enforcement Directorate (ED), never gave up the chase.

Even after Interpol removed a Red Notice against him in 2023, India kept pushing for his extradition. In March 2025, reports confirmed Choksi’s presence in Belgium, and Indian authorities sent a fresh extradition request.

Belgian police acted swiftly, arresting him on Saturday, April 12, from a hospital where he was undergoing treatment. The arrest is seen as a diplomatic win for India, with officials now working to bring him back.

What Will Happen to Him?

Choksi’s future is uncertain, but a tough road lies ahead. India is keen to extradite him to face trial for the PNB scam. However, his legal team is gearing up to fight back.

They plan to apply for bail, citing his health issues, and challenge the extradition by arguing that the case is politically motivated and that Indian prisons are unsafe for him.

The India-Belgium extradition treaty allows for his transfer since fraud is a serious crime in both countries, but the process could take months or even years.

Choksi’s Antiguan citizenship and Belgian residency might complicate matters, as he could claim he’s no longer an Indian citizen.

If extradited, Choksi faces serious charges that could lead to a long prison sentence. Indian authorities have already seized assets worth over ₹2,500 crore linked to him, including properties, jewelry, and bank accounts.

Even if he avoids extradition, he’s likely to remain under strict scrutiny in Belgium, with limited freedom to move. Some believe he’ll use his wealth to hire top lawyers, much like other fugitives, to delay or dodge justice.

Similar Incidents in India in Recent Years

India has seen several high-profile cases of businessmen fleeing after financial scams in recent years, often leaving banks and investors in chaos.

Nirav Modi (2018)

Choksi’s nephew and co-accused in the PNB scam, Nirav Modi, also fled India in 2018. Accused of defrauding PNB of ₹14,000 crore, he was arrested in London in 2019. He’s still in a UK prison, fighting extradition to India, with his legal battle dragging on due to appeals.

Vijay Mallya (2016)

The former liquor baron and Kingfisher Airlines owner fled to the UK in 2016, accused of defaulting on loans worth over ₹9,000 crore. Indian agencies have been trying to extradite him for years, but Mallya’s legal team has delayed the process with multiple appeals. He remains in London, living a relatively comfortable life.

Lalit Modi (2010)

The founder of the Indian Premier League (IPL) left India amid allegations of financial irregularities and tax evasion. Living in London, he’s avoided returning despite probes by the ED and CBI. Unlike Choksi, he hasn’t been arrested, but his case remains active.

These cases highlight a pattern: wealthy businessmen accused of fraud often flee to countries with complex extradition processes, using their resources to fight legal battles.

India has stepped up its efforts to track such fugitives, passing laws like the Fugitive Economic Offenders Act in 2018 to seize their assets and speed up extradition.

What’s Next?

Choksi’s arrest has sparked hope among those affected by the PNB scam, including whistleblower Hariprasad SV, who first raised alarms about Choksi’s dealings in 2016.

“It’s great news,” he said, though he warned that Choksi’s wealth could make extradition tricky. Indian ministers, including Law Minister Arjun Ram Meghwal, have called the arrest a “big achievement,” crediting India’s diplomatic push under Prime Minister Narendra Modi.

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