CBI questions MD, ED of PNB

NEW DELHI: The CBI today examined Punjab National Bank’s Managing Director and CEO Sunil Mehta and its Executive Director K V Brahmaji Rao in connection with the Rs 11,400 crore PNB scam allegedly involving diamantaire Nirav Modi and owner of Gitanjali Gems Mehul Choksi, officials said.

They said the examination is focussed on understanding how the crime was detected by the bank and other procedural issues and their violations.

They are not being treated as accused, the officials said.

It has been alleged that fraudulent guarantees were issued to the uncle-nephew duo of Nirav Modi and Mehul Choksi through 293 Letters of Undertakings.

Refusing to give out any further details, the officials said the agency is also questioning the 12 accused arrested by the agency so far.

They said this is the first time the agency has examined the top brass of the Punjab National Bank in connection with the fraud, which remained undetected state for over six years, shaking up the banking system of the country. (AGENCIES)