Union Bank of India has taken fugitive billionaire jeweller Nirav Modi to a court in Hong Kong after two of his companies defaulted on more than USD 5.49 million in credit facilities, according to a media report.
The bank claimed in a writ filed at the High Court on Wednesday that the Mumbai-born businessman, wanted over a massive financial scam in his home country, guaranteed two loans made to Firestone Trading Private on October 21, 2011 and Firestar Diamond on November 15, 2011, South China Morning Post reported.
The bank is demanding Modi who owns a chain of jewellery shops from Hong Kong to New York -- pay more than USD 5.49 million plus interest, after both firms allegedly defaulted on repayments, the report said.
TRENDING NOW
Modi, 47, has been on the run since February after Indian authorities launched an investigation into his alleged involvement in a Rs 13,400 crore scam against the Punjab National Bank (PNB).
The Post reported in April that Indian authorities had submitted a request to Hong Kong's Department of Justice for the provisional arrest of the diamond merchant, who was believed to have been hiding in the city before apparently moving to Britain.
Modi and his uncle and business partner Mehul Choksi are accused of defrauding banks by raising loans from overseas branches of Indian lenders, using fraudulent guarantees. They have denied wrongdoing.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
10:41 pm
Mcap of four of top 10 most-valued firms rises by Rs 65,671 crore
India's space economy set to reach USD 40 billion by 2040: Union Minister Jitendra Singh 
Germany's economy shrank, and it's facing a spending crisis that's spreading more gloom 
Japan's economy contracts as recession risks grow
China's 2023 growth target within reach - China bank governor